There's good news and bad news for investors interested in IonQ (IONQ +3.20%). The good news is that the stock is more than 30% below its all-time high set last month. The bad news is that IonQ's shares have skyrocketed more than 10x over the last three years.
No, I didn't mix up the good and bad news. It's too late for investors to profit from the huge gains that IonQ has delivered over the last few years. However, the recent sell-off could present a great opportunity to scoop up shares of this quantum computing pioneer. Here are three reasons to buy IonQ stock like there's no tomorrow.
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1. A massive market opportunity
There's a good reason why quantum computing stocks, including IonQ, have become hot commodities lately. Investors recognize the massive market opportunity with quantum computing.
Big consulting firm McKinsey & Company projects that quantum computing's market size could reach as much as $131 billion by 2040. McKinsey's analysts think that related quantum technologies could add up to $67 billion to this total.
The economic value of quantum computing could be far greater. McKinsey believes that the technology could create up to $1.3 trillion in additional value by 2035. Boston Consulting Group is a little more conservative, pegging the number at up to $850 billion by 2040.
Quantum computing holds the potential to dramatically accelerate the training of artificial intelligence (AI) models. It could even pave the way to achieve artificial general intelligence (AGI). Other uses for quantum computers include speeding drug discovery and development, fraud detection, optimization of logistics operations, weather forecasting, and more.
NYSE: IONQ
Key Data Points
2. Technological leadership
Can IonQ capitalize on the huge quantum computing opportunity? The company's technological leadership puts it in a great position to do so.
There are several approaches to building quantum computers. IonQ uses a trapped-ion architecture. Individual ionized atoms of a rare-earth metal called ytterbium are first trapped. The company then assembles chains of these atoms to create a qubit, which is the foundational unit of information in quantum computers. IonQ harnesses qubits to perform highly complicated algorithms.
This trapped-ion architecture offers several competitive advantages. It's highly scalable. It has fewer errors per operation. It requires less energy than other approaches. And it's more cost-effective. For example, global consulting firm Kearney estimates that the cost for IonQ to build a system with 2 million physical qubits is less than $30 million. By comparison, superconducting systems with a similar capability could cost over $1 billion.
IonQ isn't just focused on quantum computing. The company has also developed quantum networking and quantum sensing products. This gives IonQ a full-stack offering that sets it apart from rivals.
3. A strong commercial position
IonQ's revenue has skyrocketed by a compound annual growth rate of 168% over the last four years. The company recently reported 222% year-over-year revenue growth for the third quarter of 2025.
Like other up-and-coming quantum computing pure plays, IonQ isn't profitable yet. However, its cash position of $3.5 billion should enable the company to continue growing.
Perhaps the best evidence of IonQ's strong commercial position is its impressive lineup of customers. The company has worked with pharmaceutical giant AstraZeneca (AZN +0.97%) to speed up drug discovery by 20x. It teamed up with simulation software maker Ansys, which is now owned by Synopsys (SNPS 0.65%), to improve computer-aided engineering by up to 12%. Other customers include Airbus, Hyundai, and the U.S. Department of Energy.
The main reason not to buy IonQ stock
While there are compelling reasons to buy IonQ stock, there's also one main reason not to buy shares of this quantum computing pioneer. As promising as IonQ's technology is, other approaches could prove to be superior over the long run.
Great expectations of growth are baked into IonQ's market cap of around $19 billion. If the company's trapped-ion architecture doesn't live up to its potential, this stock could be a big loser for investors.
