In this analysis, Adam Spatacco of The Motley Fool dissects valuation trends of IonQ, Rigetti, D-Wave, and Quantum Computing, comparing their P/S ratios against historical internet and COVID-19 bubbles to assess possible market overextension.
Key points
- IonQ, Rigetti Computing, D-Wave Quantum, and Quantum Computing stocks show year-to-date gains between 517% and 1,500%.
- These companies trade at price-to-sales multiples exceeding peaks from the dot-com and COVID-19 bubbles.
- Recent equity offerings totaling over $2.45 billion suggest management is capitalizing on inflated market valuations.
Q&A
- What is a price-to-sales ratio?
- What are at-the-market equity offerings?
- How do bubble comparisons work?
- Why compare small quantum firms to big tech?