QUBT Stock Loses 35% in Value Weekly as Financial Reality Sinks In – Is $14 Next?
Despite technological milestones and government contracts, QUBT’s sharp selloff reflects deepening doubts over its ability to turn...
Quick overview
- Quantum Computing Inc. (QUBT) has seen a 33% decline in stock value due to eroding investor confidence and persistent financial losses.
- Despite recent government contracts and technological advancements, QUBT's revenue remains dismal, with only $100,000 reported in the first half of 2025 against a net loss of $19.5 million.
- The company's technical indicators suggest a bearish trend, with key support levels broken and momentum oscillators turning negative.
- While QUBT has made strides in photonic chip manufacturing, these advancements have not yet translated into meaningful revenue, raising concerns about its financial viability.
Despite technological milestones and government contracts, QUBT’s sharp selloff reflects deepening doubts over its ability to turn innovation into profit.
Stock Loses Ground Amid Renewed AI and Quantum Fatigue
Quantum Computing Inc. (NASDAQ: QUBT) is facing a steep decline as investor confidence erodes, with shares plunging 33% from last week’s high.
The selloff — fueled by persistent losses, thin revenues, and insider rotation toward safer tech giants — underscores growing skepticism over speculative AI and quantum names.
After a fleeting rebound earlier in 2025, QUBT’s stock has fallen for five straight sessions, dropping more than 7% on Tuesday alone. From a peak of $23.85, it now trades under $16, marking a decisive break below key support levels and signaling that the speculative momentum behind the stock is quickly fading.
Technical Breakdown Reinforces Bearish Mood
The technical setup for QUBT looks increasingly fragile. The 20-day simple moving average — a key short-term support — has been decisively broken, leaving the 50-day SMA near $15 as the next line of defense. A sustained move below could open the path to August’s lows, deepening the current correction.
Weekly indicators echo this weakness, as momentum oscillators turn sharply negative, suggesting that bearish sentiment is gaining control despite the company’s recent operational headlines.
The trend shift comes as traders pivot away from smaller, cash-burning innovators toward large-cap techs during the ongoing third-quarter earnings season.
QUBT Chart Weekly – Heading to the 20 SMA Again
Adding to the gloom, peer companies like Rigetti, IonQ, and D-Wave Quantum have also sold off, signaling sector-wide fatigue in the once-hyped quantum computing trade.
Bleak Financials Undermine Technological Gains
Despite its advances in photonic chip manufacturing and quantum hardware design, QUBT’s financial performance remains dismal.
In the first half of 2025, the company reported just $100,000 in revenue against a net loss of $19.5 million. Analysts expect only $400,000 in full-year revenue and nearly $39 million in losses, emphasizing how far the company remains from profitability.
While QUBT holds a respectable $349 million in cash — bolstered by a $188 million private placement — its heavy R&D spending continues to drag margins deeper into the red. Profitability remains a distant goal, with EBIT and net margins still sharply negative.
The latest quarterly report was particularly sobering: total revenue of just $373,000, or a mere $0.0023 per share, highlighting the company’s ongoing struggle to commercialize its breakthroughs.
Contract Wins Offer Fleeting Optimism
QUBT’s management has attempted to spotlight several new deals to reassure investors. The company recently landed a U.S. government contract with the National Institute of Standards and Technology (NIST) for thin-film lithium niobate (TFLN) photonic circuits — its first in this niche field.
It also received a chip order from a Fortune 500 defense and electronics client, marking growing institutional awareness of QUBT’s domestic quantum manufacturing capabilities.
However, these contracts are too small to offset the massive financial strain, and many analysts view them as symbolic wins rather than structural turnarounds.
Foundry Launch Highlights Progress — But Not Profit
Operationally, the completion of QUBT’s TFLN photonic chip foundry in Tempe, Arizona is a technical milestone. The facility is now fulfilling initial orders, including one from a top-five global research institution, positioning QUBT as a credible hardware producer.
The company also continues to build visibility through collaborations — from a NASA subcontract for LiDAR processing to partnerships with medical research institutions and automakers exploring quantum applications.
Yet, despite these moves, none have yet translated into meaningful recurring revenue, leaving the company’s business model under pressure.
Outlook: Innovation Overshadowed by Investor Doubt
Quantum Computing Inc. remains a company rich in ideas but poor in earnings. Its progress in photonics and quantum technology has yet to ease concerns about persistent cash burn, weak revenue generation, and sector-wide valuation excesses.
As investor enthusiasm for AI and quantum themes cools, QUBT risks becoming a casualty of a deflating tech bubble — one where innovation alone no longer commands a premium.
Unless management can turn partnerships into real profits, the company’s future may depend less on quantum breakthroughs and more on financial survival.
- Check out our free forex signals
- Follow the top economic events on FX Leaders economic calendar
- Trade better, discover more Forex Trading Strategies
- Open a FREE Trading Account
Save