Quantum Computing is Set to Transform Tech: 5 Stocks to Watch
(Finance.Yahoo) While it is still difficult to encounter pure-play quantum computing companies, bigwigs like IBM, Intel, and Alphabet Inc. GOOGL are investing in quantum computing to provide opportunities to many startups, end-to-end solutions providers, hardware firms (dealing in photonics, trapped ions, superconducting material and semiconducting material), software firms and research labs.
Sreoshi Beral from Zacks has shortlisted five stocks that investors can tap to benefit from the quantum space:
NVIDIA Corporation NVDA is a visual computing company. This chipmaker launched cuQuantum SDK, a development platform for simulating quantum circuits on GPU-accelerated systems. The company’s expected earnings growth rate for the current year is 58.8% compared with the Zacks Semiconductor – General industry’s projected earnings growth of 25.4%.
Alphabet aka Google’s quantum computer has achieved a solution that could have real-world application, by successfully simulating a simple chemical reaction. The company is expanding its horizon in quantum chemistry, helping scientists understand molecular reactions, leading to produce better batteries, new ways to make fertilizer and improved methods of removing carbon dioxide from the air. The company’s expected earnings growth rate for the current year is 53.1% compared with the Zacks Internet – Services industry’s projected earnings growth of 6.7%.
Accenture plc ACN is experimenting with cloud-based and hybrid quantum computing and Accenture Labs is working with Biogen to apply quantum computing to accelerate drug discovery. This Zacks Rank #2 company’s expected earnings growth rate for the current year is 17.6% compared with the Zacks Consulting Services industry’s projected earnings growth of 15%.
Microsoft Corporation’s MSFT Quantum team innovates across every layer of the quantum stack, from software and applications to control and devices, and includes the pursuit of fault-tolerant topological qubits that scale toward a general-purpose quantum computer. The company’s expected earnings growth rate for the current year is 35.4% compared with the Zacks Computer – Software industry’s projected earnings growth of 1.8%.
Amazon.com, Inc.’s AMZN Amazon Braket is a fully-managed quantum computing service that helps researchers and developers get started with the technology to accelerate research and discovery. This Zacks Rank #3 company’s expected earnings growth rate for the current year is 37% compared with the Zacks Internet – Commerce industry’s projected earnings growth of 16%.
