The stock of Quantum Computing (QUBT) is down 28% following negative comments from Meta Platforms (META) CEO Mark Zuckerberg.
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Zuckerberg has joined Nvidia (NVDA) CEO Jensen Huang in disparaging the current state of quauntum computing, claiming the technology is far from reaching commercial use. Zuckerberg’s comments, which were made on the Joe Rogan podcast, also pushed down the share prices of other quantum stocks, including IonQ (IONQ), Rigetti Computing (RGTI), and D-Wave Quantum (QBTS).
“I’m not really an expert on quantum computing, but my understanding is that it’s still quite a ways off from being a truly practical paradigm,” said Zuckerberg when speaking on the podcast. His comments echo those of Nvidia CEO Huang, which sent quantum computing stocks into a tailspin on January 8. Huang said that the technology won’t be “very useful” for another 15 to 30 years.
QUBT stock has now declined 62% in the last five trading sessions.
Reversal of Fortune
The current decline in QUBT stock, and others involved in quantum computing, is a big reversal of fortune for the sector. Quantum stocks had rallied in December after Google parent company Alphabet (GOOGL) announced the Willow quantum computing chip. Google is a global leader in quantum research.
However, quantum computing continues to face numerous challenges. The technology works on a subatomic level and uses exotic technologies such as super cold conductor microchips. Quantum computing’s main benefit is that it can solve problems too complex for today’s computers.
Is QUBT Stock a Buy?
Only one analyst currently offers a rating on Quantum Computing stock, and it is a Buy recommendation. The current price target on QUBT stock of $8.50 implies 30.97% upside from current levels.
