Quantum Stocks Shine Again Amid Growing Investor Confidence

Quantum stocks jumped again in morning trading Tuesday amid growing investor confidence. Quantum Corporation rose 21%; Quantum Computing rose 19%; D-Wave Systems rose 9%; Rigetti Computing rose 5%.

Quantum Computing led quantum stocks higher Monday as enthusiasm behind this technology grows, despite commercialization yet to arrive.

Quantum Computing surged 65% on Monday. Its share value has catapulted about 370% over the past month alone.

D-Wave Systems jumped 45% as its market cap has rocketed more than 400% over the past month. Rigetti Computing tacked on 18% after making an eye-popping climb of more than 630% in the past 30 days.

IONQ surged nearly 24% on Monday as Morgan Stanley upped its price target on the company.

"We can't identify a clear catalyst for this kind of equity appreciation in the space over that time, but we do see continued indications that investment in quantum should continue growing at a rapid pace," said Morgan Stanley analysts led by Joseph Moore, in a Monday investor note. "Members of the U.S. Congress recently introduced a bill to authorize $2.7B in federal funding for quantum technologies."

Morgan Stanley more than doubled its price target on IonQ to $37 from $14.90, but said the recent announcements emphasize "the potential impact rather than actual near-term value add for the technology. This is something that we do expect to unfold over the next few years."

"Clearly the market is enthused for the potential for Quantum to participate in a $200B AI TAM by 2026, as uncertain as we think that is," Moore added.

"Advancements in quantum science and technology are a game-changer," said U.S. Senator Maria Cantwell (D-Wash.). "From healthcare breakthroughs to clean energy solutions, quantum applications in sensing, computing, and communications will reshape our future."

Other recent announcements in quantum computing include Amazon Web Services (AMZN) launching Quantum Embark, which was created to help customers prepare for the era of quantum computing, a nascent field that harnesses the powers of quantum mechanics.

One week ago, Google (GOOG)(GOOGL) revealed its new quantum computing chip dubbed Willow, which led to another spark in quantum computing stocks.