A surplus of cash can mean financial stability, but it can also indicate a reluctance (or inability) to invest in growth.
Some of these companies also face challenges like stagnating revenue, declining market share, or limited scalability.
In a move that signals the end of the "asset-light" era for quantum computing, IonQ (NYSE: IONQ) has announced a definitive $1.8 billion acquisition of SkyWater Technology (NASDAQ: SKYT), effectively transforming itself into the industry’s first vertically integrated quantum powerhouse. The deal, finalized in the early weeks of
Quantum computing is an exciting opportunity, but the technology is young, and the pure plays are still highly risky investments. Fortunately, you don't need to swing for the fences with your stock picks to win.
Over the last six months, IonQ’s shares have sunk to $34.84, producing a disappointing 17.1% loss - a stark contrast to the S&P 500’s 9.8% gain. This may have investors wondering how to approach the situation.
Shares of quantum computing company IonQ (NYSE:IONQ) fell 8.1% in the afternoon session after a short-seller report from Wolfpack Research alleged the company lost critical funding for Pentagon contracts. The report claimed that these contracts accounted for up to 86% of IonQ's revenue from 2022 to 2024. Wolfpack Research stated that this created a "$54.6M black hole in its bookings" for 2025. The short-seller also suggested this situation led to the CEO's resignation and significant insider stock sales. According to the report, IonQ then acquired several non-quantum computing companies in an effort to compensate for the lost funding, which worsened the company's cash flow from operations.
