IonQ Inc. (IONQ) shares tumbled 8.43% in pre-market trading on Friday, as the quantum computing sector faced a broad sell-off. The decline comes amidst growing skepticism about the company's ambitious claims and concerns over its lofty valuation.
The pre-market plunge follows recent statements by IonQ's CEO Niccolo de Masi, who expressed the company's desire to become the "Nvidia of quantum computing." However, industry experts remain cautious, pointing out that practical quantum computing applications are still years away. The company's current $11.8 billion market cap, compared to its modest $43 million in revenue over the past four quarters, has raised eyebrows among investors.
IonQ's decline is part of a larger trend affecting quantum computing stocks, with other companies in the sector also experiencing significant drops. As the market reassesses the near-term potential of quantum technology, investors appear to be taking a more conservative stance on these high-risk, high-potential stocks.
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