The rise of ChatGPT and generative AI in 2023 brought immense growth to technology titans like Nvidia, setting off an “AI craze.” Now, investors are eyeing the next promising technology stocks of the 21st century: quantum computing. While this field is still in its infancy, there are three quantum computing stocks that investors should consider for the best returns in 2024.
Rigetti Computing (RGTI)
Rigetti Computing, which went public in October 2021 through a SPAC deal, is a vertically integrated quantum computing business. This means that the company is involved in both designing and manufacturing its multi-chip quantum processors. Rigetti utilizes superconducting circuits as qubits, operating at near-zero temperatures on silicon chips. The company delivers its quantum computing capabilities through cloud service networks, providing quantum software development tools and hardware design.
With a revenue of $13 million in 2022, up 46% from the previous year, Rigetti Computing shows robust growth potential. While its shares proved volatile in 2023, with a 35% return by the year-end, interested investors may find an opportunity to buy shares now.
IonQ (IONQ)
IonQ, the first pure-play quantum computing stock to be publicly traded, specializes in trapped-ion quantum computing. This method uses electrically charged atoms as qubits for storage and manipulation. IonQ claims to have built the world’s most powerful quantum computer, with a quantum capacity of 32 qubits. The company plans to launch modular quantum computers in 2023, making them accessible to customers and developers through large cloud platforms.
Though IonQ is still in the pre-revenue stage, analysts expect it to generate $19 million in revenue in 2023 and $88 million by 2026. In 2023, IonQ’s shares rose over 259%, and the company could continue to outperform the market as enterprises seek advanced computing technology in 2024.
Taiwan Semiconductor (TSM)
As the world’s largest contract chipmaker, Taiwan Semiconductor is a crucial component of any investor’s portfolio focused on the chip revolution. TSM specializes in advanced manufacturing processes, such as 5-nanometer and 3-nanometer technologies, enabling the production of smaller, faster, and more power-efficient chips. Additionally, TSM plays a key role as a supplier of AI chips for ChatGPT due to its chip manufacturing competencies.
With its Q3 and Q4 earnings reports reflecting positive growth, TSM expects to rebound in 2024, marking the end of the chipmaker slump. While TSM currently manufactures GPUs and CPUs for leading companies like Nvidia, Apple, and AMD, it could also play a significant role in manufacturing quantum computers in the future.
As the field of quantum computing continues to evolve, these three stocks offer investors an opportunity to participate in the potential growth of this technology. They provide distinct approaches to quantum computing and have the potential to deliver promising returns in 2024.
FAQ
1. What is Rigetti Computing (RGTI)?
Rigetti Computing is a vertically integrated quantum computing business that designs and manufactures multi-chip quantum processors. The company utilizes superconducting circuits as qubits and delivers its quantum computing capabilities through cloud service networks.
2. What is IonQ (IONQ)?
IonQ is the first pure-play quantum computing stock to be publicly traded. The company specializes in trapped-ion quantum computing, using electrically charged atoms as qubits. IonQ claims to have built the world’s most powerful quantum computer and plans to launch modular quantum computers in 2023.
3. What is Taiwan Semiconductor (TSM)?
Taiwan Semiconductor is the world’s largest contract chipmaker specializing in advanced manufacturing processes. It produces smaller, faster, and more power-efficient chips using technologies like 5-nanometer and 3-nanometer. TSM also plays a role as a supplier of AI chips for ChatGPT.
Definitions
– SPAC: Special Purpose Acquisition Company. A company formed to raise capital through an initial public offering (IPO) for the purpose of acquiring an existing company.
– Qubits: The quantum equivalent of classical bits, representing the fundamental units of quantum information in quantum computing.
– Revenue: The total amount of money generated by a company for selling its products or services during a specific period.
Suggested Related Links
– Rigetti Computing
– IonQ
– Taiwan Semiconductor
The source of the article is from the blog guambia.com.uy