Quantinuum Inc: Bernstein initiates coverage with outperform rating; target price $94
Bernstein SocGen Group has initiated coverage on Quantinuum Inc (NASDAQ:QNT) with an outperform rating and a price target of $94.00, according to Investing.com. The stock currently trades at $75.57, having surged 25% over the past six months. However, the company has not yet achieved profitability over the last twelve months.
Quantinuum is positioned as a full-stack quantum computing company, offering both hardware and software solutions. The firm has developed and delivered multiple generations of quantum computers and has a roadmap that includes breakthroughs in chemistry, pharmaceuticals, material science, and financial applications.
Bernstein noted that while the quantum computing industry remains immature, it holds significant potential and is advancing rapidly. The firm believes Quantinuum has demonstrated its ability to execute and deliver on its roadmap, including high-fidelity quantum computer with hundreds of logical qubits.
The firm’s assessment is based on the likelihood that Quantinuum will deliver its 100 logical qubit computer, named SOL, in the coming year and a larger system, APOLLO, by 2029. Bernstein values the company based on 50% probability of success.
In a separate development, JPMorgan also initiated coverage on Quantinuum with an overweight rating and a price target of $97.00 for December 2027. The firm highlighted Quantinuum’s leadership in quantum computing, including high two-qubit gate fidelity and a roadmap to hundreds or thousands of logical qubits over the next four to five years.
Quantinuum recently completed a $1.68 billion initial public offering, pricing shares at $60 each and selling 28 million shares. The offering was upsized from its initial range, reflecting strong investor demand. The company’s Class A common stock is now listed on Nasdaq Global Market under the ticker symbol “QNT”.
Despite its recent market success, Quantinuum reported revenue of just $17.08 million over the last twelve months, according to InvestingPro data. The company maintains a strong gross profit margin of 74.38% and holds more cash than debt on its balance sheet.
Both Bernstein and JPMorgan acknowledge the inherent risks in the quantum computing sector but believe the risk-reward profile is favorable for investors willing to wait for the technology to mature.
