How QUBT Grows Its Presence in the Emerging Reservoir Computing Niche

Reservoir computing is suited for edge-AI use cases, such as signal processing, time-series forecasting, and pattern recognition, where rapid response and compact systems are essential. In this context, Quantum Computing Inc. QUBT or QCi will soon debut Neurawave, a photonics-based reservoir computing system, at SuperCompute25 (SC25). 

Built in a standard PCIe interface, Neurawave combines cutting-edge optical computing with digital electronics to offer a practical, scalable, and energy-efficient solution for high-performance applications. Operating fully at room temperature with a compact design, Neurawave brings QCi’s technology roadmap into sharp focus by moving from lab-based innovation toward real-world systems that are scalable, relevant, deployable and ready to advance quantum computing across industries.

In April, the company secured the sale of one of its EmuCore reservoir computers to a major automotive manufacturer. Built on a field-programmable gate array (FPGA), EmuCore provides a flexible, secure, and low-power environment to leverage machine learning to explore edge use cases and validate processing workloads. This form of technology shows potential for AI model training — both in terms of power consumption and time required — opening up new possibilities for machine learning at the edge. This journey began when QCi secured multiple hardware sales of its state-of-the-art Reservoir Computer in 2023.

Reservoir computing is an emerging niche, and QCi has no direct publicly traded peers, though it still faces broader competition in the quantum sector.

Peer Update

IonQ IONQ recently achieved a major advancement in quantum hardware, reporting a two-qubit gate fidelity of 99.99%, the highest level demonstrated to date. This accomplishment sets a new global standard for quantum system performance. With expanding technical capabilities, IONQ is well-positioned to drive further development in quantum computing and quantum networking, particularly as interest in hybrid quantum architectures grows. IonQ is also enhancing its overall quantum roadmap by incorporating next-generation ion-trap designs and photonic-interconnect solutions aimed at delivering more scalable and higher-performance quantum systems.

Arqit Quantum ARQQ is solidifying its position in the quantum-safe cybersecurity space by joining the Oracle Defense Ecosystem, which broadens its access to secure government and enterprise environments. ARQQ further gained external validation through its selection by the U.K.’s NCSC to support the nation’s transition to post-quantum cryptography. In addition, Fabric Networks adopted Arqit’s NetworkSecure platform to implement quantum-safe encryption across its infrastructure, indicating early momentum in commercial adoption.

QUBT’s Price Performance

Over the past year, QCi’s shares have gained 416.4%, outperforming the industry’s 8.1% growth. The S&P 500 composite has grown 14.7% in the same period.

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Expensive Valuation

QUBT currently trades at a forward 12-month Price-to-Sales (P/S) of 1880.60X compared with the industry average of 5.59X.

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QUBT Stock Estimate Trend

In the past 30 days, its loss per share estimate for 2025 has remained unchanged at 25 cents.

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QUBT stock currently has a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

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This article originally published on Zacks Investment Research (zacks.com).

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