If you're looking to buy some stocks that may set you up for life, you're going to have to take some big swings -- especially if you aren't starting with a lot of money. One of the best ways to do this is by investing in some emerging technology trends early. You're likely going to have some misses along the way, but if one of these growth stocks hits it big, it could help set you up for life.
Let's look at two stocks that fit this bill.
IonQ
IonQ (IONQ 10.32%) is trying to become the Nvidia (NVDA 0.88%) of quantum computing, and it's taking the steps to get there. Nvidia didn't become the dominant player in artificial intelligence (AI) infrastructure just because it developed the best graphics processing units (GPUs). It was the software and networking ecosystem it built around its chips that created the wide moat it has today. IonQ is now trying to follow that same playbook when it comes to quantum computing.
IonQ's approach to quantum computing itself is a bit unique, as it uses trapped ions, which are actual atoms, instead of trying to build artificial qubits. That gives its machines much lower error rates and more predictable performance. It's also a more expensive approach with very tight system-building tolerances. However, the company isn't just looking to build quantum computers; IonQ is looking to provide the whole quantum stack. This starts with software, where its Clifford Noise Reduction technology is used to cut errors even further, which is critical as systems scale up.
It's also aggressively adding networking capabilities through acquisitions like Lightsynq and Capella Space, and its latest pending deal for Vector Atomic puts it into quantum sensing with a portfolio of technology trusted by some of the most demanding government programs. IonQ has also demonstrated that it can convert photons from its trapped-ion system into telecom wavelengths, which opens the door to high-speed links connecting quantum computers across existing fiber infrastructure.
This is a big step toward an eventual quantum internet. IonQ has over $1.6 billion in cash and no debt as of July 9, which lets it keep expanding its talent pool and make strategic acquisitions like these. It is worth noting that IonQ consumed $155 million of cash over the last year, though -- it's running an expensive business with minimal revenues.
Quantum computing isn't going to replace classical computing tomorrow, but it could become the next big technology in the future. IonQ has been making good strides in this area, as demonstrated by its recent agreement with the U.S. Department of Energy to work on quantum-secure communications in space.
IonQ doesn't have to be the only quantum computing winner to deliver massive returns; it just needs to stay ahead of the pack, and right now it appears to be doing so.
Image source: Getty Images.
SoundHound AI
SoundHound AI (SOUN 10.22%) is betting that the future of AI will be conversational and voice-driven, and it's building out its platform to enable more seamless interaction with AI agents. Its Amelia 7.0 platform is a big leap forward because it lets AI agents plan and take action through voice interactions, which means fewer calls need to go to a human. That cuts costs for customers and creates more value for SoundHound. The company is just at the start of its AI agent journey, but it is already transitioning 15 of its largest clients to Amelia 7.0.
The company also recently announced the acquisition of Interactions, which it said was an early pioneer of AI-powered voice assistants for customer service. It said that Interactions' technology complements its own and brings with it some big new customers and a strong patent portfolio. It plans to incorporate this technology with its own to provide a full suite of options for omnichannel AI agents.
The deal comes on the heels of SoundHound AI posting its best quarterly results ever. Last quarter's revenue surged 217% year over year to $42.7 million. Management raised its outlook, noting it's on track to hit adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) profitability by the end of 2025. It said the pending Interactions buyout, meanwhile, will be immediately accretive to profitability.
Competition in AI agents is intense, but SoundHound's voice-first approach could make it the go-to platform as AI systems become multimodal and voice becomes the preferred way to interact with them. If it can keep growing and take a leadership role in this space, the stock has the potential to be a huge winner over the next decade.
