D-Wave Quantum Inc.

🇺🇸New York Stock Exchange
Back to all articles
D-Wave Quantum Inc. stock analysis QBTS overview
Bullish +75

8 Best Quantum Computing Stocks to Invest In According to Hedge Funds - Insider Monkey

🚀 US Commerce Department announces $2 billion in CHIPS grants for quantum computing, boosting domestic innovation and job creation.

📈 Major stocks react positively to news, with Infleqtion rising 23%, D-Wave up 16.5%, and Rigetti gaining 14%.

💰 IBM receives nearly half of the $2 billion package, while startups like Infleqtion get ~$100 million each.

📊 Insider Monkey ranks 8 quantum stocks by hedge fund holdings as of Q1 2026 to identify top investment picks.

🔒 Arqit Quantum Inc. reports Q1 revenue of $623,000 and launches Encryption Intelligence with Intel and 6WIND partnerships.

💻 Horizon Quantum Holdings Ltd. gets a 'Buy' rating from Needham with a $20 price target for its software infrastructure.

🌍 The sector is driven by national security needs and the urgent post-quantum migration demand highlighted by CEOs.

📉 Horizon Quantum Holdings Ltd. narrows net loss to $3.6 million while maintaining $96.6 million in cash reserves.

🤝 D-Wave Quantum, Rigetti Computing, and Infleqtion are explicitly named as recipients of the federal quantum grants.

📈 The article lists IonQ, Honeywell, and Xanadu alongside others as part of the top 8 hedge fund favorites.

Bullish Signals
  • US government provides $2 billion in direct funding to accelerate quantum computing research and development.
  • Arqit Quantum Inc. achieved a sharp revenue increase to $623,000 in Q1 fiscal 2026 compared to $67,000 the prior year.
  • Infleqtion stock jumped 23% immediately following the grant announcement, signaling strong investor confidence.
  • Horizon Quantum Holdings Ltd. received a 'Buy' rating from Needham with a specific $20 price target.
  • Arqit Quantum Inc. secured its first related contract for Encryption Intelligence and formed new partnerships with Intel and 6WIND.
  • The sector is positioned to capture opportunities across telecom, government, defense, and enterprise markets.
  • Hedge funds are actively piling into these stocks, suggesting institutional validation of their growth potential.
Risk Factors
  • Horizon Quantum Holdings Ltd. reported a $6.5 million operating loss in the first quarter of 2026.
Full Analysis
The article highlights a surge in quantum computing stocks following the US Department of Commerce's announcement of $2 billion in CHIPS Research and Development grants. Secretary Howard Lutnick emphasized the initiative's goal to boost domestic skills and innovation, with IBM receiving nearly half the funding while startups like D-Wave Quantum, Rigetti Computing, and Infleqtion each secured approximately $100 million. The market reacted positively, with Infleqtion jumping 23% and other major players rising significantly as investors priced in government-backed sector growth. Insider Monkey identifies eight top quantum computing stocks based on hedge fund holdings and recent developments, ranking them by the number of holders as of Q1 2026. The list includes Arqit Quantum Inc., Horizon Quantum Holdings Ltd., IonQ Inc., Infleqtion Inc., D-Wave Quantum Inc., Rigetti Computing Inc., Xanadu Quantum Technologies Limited, and Honeywell International Inc. The analysis suggests that imitating these top picks can outperform the market, citing a strategy return of 599.2% since May 2014. Specific company updates include Arqit Quantum Inc.'s Q1 fiscal 2026 revenue jump to $623,000 and the launch of its Encryption Intelligence product with new partnerships. Horizon Quantum Holdings Ltd. received a 'Buy' rating from Needham with a $20 price target, noting its first-mover edge in quantum software infrastructure despite an operating loss of $6.5 million. The article positions these companies as key beneficiaries of the post-quantum migration urgency and national security concerns.