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The solace of quantum

Quantum computing companies are stacking up piles of cash, capitalizing on their booming stock prices

IONQ, RGTI, QUBT, and QBTS have raised a total of ~$4.5 billion this year as the battle for commercialization heats up.

Claire Yubin Oh

Make hay while the sun is shining, or so the saying goes. And that’s exactly what America’s quantum computing companies have been doing in 2025.

Quantum cash leap

Revenues have been overrated and profits unnecessary, with quantum stocks on fire this year as investors have piled into speculative pockets of the market, helping QBTS and RGTI soar some 1,800% and 2,300%, respectively, in the past year.

Still a young, largely speculative technology, quantum stocks have swung dramatically (but mostly up) on the slightest shift in sentiment. Sometimes, there’s been an actual technological breakthrough. At other moments, rumors of a potential government endorsement, contract, or investment have been enough to send them spiking — and occasionally, good old-fashioned thin air has kept them moving higher as retail traders piled into the stocks.

For the companies themselves, a higher share price is nice, but it really has zero effect on the day-to-day operations of the firm — unless they choose to cash in by selling new shares to the public. And cash in they have, with the four main public pure-play firms — D-Wave Quantum, Rigetti, Quantum Computing, and IonQ — raising more than $4.5 billion through some form of equity offering over the past year, per their press releases, including the following:

Quantum companies have been cashing in
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Indeed, with the exception of Rigetti Computing, which has raised the least of its peers during the past year, three out of the four quantum companies all reported a record-high cash pile in the latest quarter, giving them ample war chests to invest in the nascent technology in the pursuit of “commercialization” — or finally making some serious cash from all of these expensive hyperspeed computers, which promise the potential for breakthroughs in all kinds of fields, from engineering to biology, finance to cryptography.

At the end of Q3, D-Wave’s $836 million cash hoard outstripped that of all of its pure-play peers combined. IonQ’s fresh massive influx in early Q4 is now poised to give that company more than all its rivals combined!

The solace of quantum

Despite the hype, revenues remain negligible. Just this week, D-Wave Quantum reported revenue of just $3.7 million, with operating expenses of more than $30 million. Funding that kind of cash burn, when your operating expenses are 8x your revenue, gets a lot easier when your stock is up 1,800% in the last 12 months and you can build yourself a fortress of a balance sheet to help you weather the leaner times.

Interestingly, the race between (and beyond) the four pure-play quantum companies for commercialization — specifically to scale up hardware while solving reliability issues — is more of a battle between the different methods to achieve this common goal, whether it be using photonic (QUBT), trapped-ion (IONQ), or superconducting (RGTI, QBTS) modalities. The group is also divided in terms of the type of quantum system they’re most specialized in, with D-Wave the sole firm that’s most advanced in annealing quantum, while the others favor gate-based approaches.

Thanks to the insane ride over the last 12 months, each of those approaches should have hundreds of millions of dollars of funding available to them — even if the stock prices fade (which they have done in recent weeks).

Go Deeper: D-Wave CEO’s pitch to the Trump administration: Buy our quantum computers in exchange for an equity stake

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FDA says it will take “decisive steps” against GLP-1 compounders, HHS refers Hims to DOJ for investigation

The Food and Drug Administration said it would take "decisive steps" to restrict GLP-1 compounding, a day after Hims & Hers announced that it would sell copies ofNovo Nordisk’sWegovy pill.

The FDA specifically called out Hims in the announcement. Additionally, Department of Health and Human Services' General Counsel Mike Stuart said in a post on X on Friday he has referred Hims to the Department of Justice "for investigation for potential violations by Hims of the Federal Food, Drug, and Cosmetic Act and applicable Title 18 provisions."

In a statement, Hims said the company "has always operated with a deep commitment to the safety and best interests of consumers and in compliance with applicable law."

"We have a long history of successfully working with regulators, and look forward to continuing to engage with the FDA to ensure safe access to affordable healthcare," they said.

This marks a significant shift in tone from the FDA, which has done little to prevent companies like Hims from marketing copies of Novo's lucrative weight loss drugs.

Shares of Hims fell 14% after hours. The stock had already taken a hit after FDA Commissioner Marty Makary said in an X post on Thursday that the agency would “take swift action against companies mass-marketing illegal copycat drugs.”

The FDA specifically called out Hims in the announcement. Additionally, Department of Health and Human Services' General Counsel Mike Stuart said in a post on X on Friday he has referred Hims to the Department of Justice "for investigation for potential violations by Hims of the Federal Food, Drug, and Cosmetic Act and applicable Title 18 provisions."

In a statement, Hims said the company "has always operated with a deep commitment to the safety and best interests of consumers and in compliance with applicable law."

"We have a long history of successfully working with regulators, and look forward to continuing to engage with the FDA to ensure safe access to affordable healthcare," they said.

This marks a significant shift in tone from the FDA, which has done little to prevent companies like Hims from marketing copies of Novo's lucrative weight loss drugs.

Shares of Hims fell 14% after hours. The stock had already taken a hit after FDA Commissioner Marty Makary said in an X post on Thursday that the agency would “take swift action against companies mass-marketing illegal copycat drugs.”

Airlines rise, continuing their volatile 2026, as US-Iran talks may foreshadow some oil supply relief

Airline stocks are surging on Friday, as the market appears to be pricing in some medium-term oil pricing relief following talks between the US and Iran. Iranian officials referred to the meeting as “a good beginning.”

Shares of budget carriers, which have tighter margins and are more sensitive to fluctuations in fuel costs, are leading the surge. Frontier Airlines and Allegiant up more than 13%, while major airlines like United Airlines, American Airlines, and Delta Air Lines are also up at least 6%. JetBlue and Alaska Air are similarly up about 6%.

The market more broadly is rebounding on Friday, with the S&P 500 up 1.6% and bitcoin recovering some of this week’s losses.

Airlines have been volatile to start 2026 amid geopolitical tensions, varying annual forecasts, and the impact of winter storms.

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Luke Kawa

The AI supply chain is soaring thanks to Amazon’s capex budget

If tech companies are going to spend way more than expected on capex, well, that means other companies are poised to benefit from that massive spending spree.

Amazon’s plan for $200 billion in business investment this year was the exclamation point to end a reporting period that saw every Magnificent 7 hyperscaler that provides guidance offer a 2026 capex budget well above what Wall Street had anticipated.

Here’s a look at the different parts of the supply chain that are soaring on the persistent demand for, and seeming scarcity of, AI compute:

Here’s a look at the different parts of the supply chain that are soaring on the persistent demand for, and seeming scarcity of, AI compute:

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For memory chips, the “parabolic price hike” is continuing to ramp higher

The remarkable run-up in prices for memory chips continued into early February, analysts at Bernstein Research say, driven largely by data center demand from hyperscalers and cloud service providers (CSP).

Prices for NAND flash memory wafers — a type of memory used in devices, as it retains data even when powered down — soared 35% between the end of 2025 and February 2.

Spot prices for DRAM — ubiquitous short-term data storage chips — jumped about 28% in that period. But that massively understates the remarkable shift in pricing for what were long seen as commodity tech hardware inputs. DRAM prices are more than 2,000% over the last year, while NAND prices are up more than 600% in that period.

The ongoing momentum provides still more support for memory chip plays like Micron and Sandisk, which have been big market winners in recent months.

In a note published earlier this week, Bernstein Research analysts wrote:

“The parabolic price hike continued in Jan. Indicated price increase for 1QCY26 is much stronger than we expected and we hence see upside to our near term memory pricing projection. Unrelenting CSP demand remained the main driver. PC and Mobile demand hasn’t been destroyed yet because of lean inventory & pull-forward purchase. Going forward price hike is expected to continue but likely at a slower rate, as PC and Mobile demand should contract meaningfully this year. Price however may stay elevated throughout this year, supported by CSP demand.”

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