On October 23, 2025, the quantum-computing segment made headlines as investors awaited government moves and sector momentum. Specifically, shares of IonQ climbed around 14%, Rigetti rose roughly 11%, and D-Wave jumped about 15% in pre-market trading. Barron’s+1
Moreover, broader indices like the S&P 500 were relatively flat ahead of the open, but quantum names stood out. Barron’s
Thus, this was clearly a day where speculation, news flow and investor excitement collided — and it’s worth unpacking the “why” behind the moves.
Why the Rally: Government Talks & Sector Sentiment
Firstly, the surge was largely driven by reports that the United States Department of Commerce was in talks with quantum-computing firms — including IonQ, Rigetti and D-Wave — about providing funding in exchange for equity stakes. Barron’s+1
Secondly, the quantum-computing field has seen impressive gains over the trailing year, with some firms posting returns in the hundreds to thousands of percent. Nasdaq+1
However, while the excitement is real, caution remains: many analysts warn that despite the rally, the fundamentals still lag the valuations. Nasdaq
Therefore, the October 23 move can be viewed as both a reaction to the news and a reflection of broader speculative interest in quantum-tech stocks.
Company-by-Company Overview
IonQ (IONQ)
IonQ specialises in trapped-ion quantum hardware and has built an ecosystem with cloud providers. Recently the company has announced key partnerships and acquisitions. zacks.com+1 On October 23, its stock reaction (~+14 %) reflects both the sector lift and specific news flow.
Rigetti Computing (RGTI)
Rigetti focuses on superconducting-qubit architectures and quantum-cloud services. Although its revenue remains modest, the company is pushing scalability. MarketBeat On that day, its ~11 % gain was consistent with the sector move though perhaps less dramatic.
D-Wave Quantum (QBTS)
D-Wave brings quantum-annealing systems (optimized for certain problem classes rather than full universal quantum computers). While some view this as a narrower niche, it has generated commercial bookings, especially in optimization use-cases. 24/7 Wall St. The ~15 % jump reflects the same sector catalyst impacting all three firms.
Collectively, therefore, while each company has its distinct technology and business model, they all rode the same wave on October 23.
Valuation, Risks & Why Caution Is Warranted
Nevertheless, despite the excitement, there are significant caveats. For example, as of October 2025, the price-to-sales (P/S) ratios for these companies are extremely elevated: IonQ ~300-plus, Rigetti in the thousands, D-Wave hundreds. The Motley Fool+1
In addition, many analysts argue that although the quantum-computing market has massive long-term potential, widespread commercial adoption is still years away. The Motley Fool
Therefore, while the upside is high, the risks (technological, business model, cash-burn) are also substantial. For instance, rewarding news like government funding talks may fuel a rally — yet without revenue expansion, the moves can be speculative.
Thus, for an investor, these stocks are high-beta bets rather than stable plays. And since they may swing wildly, one should proceed with caution.
Implications for Investors & What to Look For
If you’re watching these quantum names post-October 23, several key metrics and catalysts stand out:
- Government contracts or stake-investment announcements – Any official deal with the Commerce Department or other agencies could serve as a major trigger.
- Quarterly revenue and bookings – Does the firm move from proof-of-concept to recurring commercial revenue?
- Technology scalability and error-rates – Especially in quantum hardware, incremental progress matters.
- Valuation discipline – Given high P/S ratios, future growth must justify current valuations.
Consequently, if you invest, it may be wise to consider position sizing (small exposure) or view these as speculative “moon-shots” rather than core holdings.
The Takeaway: October 23 as a Signal — Not a Guarantee
In summary, the rally on October 23 for IonQ, Rigetti and D-Wave was driven by a combination of news flow (government funding talks) and ongoing investor enthusiasm for quantum computing. Even so, the outlines of caution loom large: lofty valuations, nascent commercialization, and technology execution risk.
Therefore, while the day may mark a signal that quantum stocks have entered a new phase of attention, it does not guarantee that the sector has entered a stable growth mode. Indeed, unless the companies deliver meaningful commercial traction, valuations may revert.
Ultimately, for investors, this means: if you believe in long-term quantum computing, these names might be part of the story — but only as a small fraction of a diversified portfolio, and only with the understanding that the road ahead is still uncertain.
