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Quantum Computing

As explained by Mark Johnson, quantum computing uses the principles of quantum mechanics to process data in a fundamentally different way than traditional computers. Rather than using bits (with 0s and 1s), a quantum computer uses quantum bits, or qubits, which can represent both 0 and 1 simultaneously. This phenomenon is possible thanks to a physics property called superposition.

The better the computing power, and the more data, the better a semiconductor will perform and, as such, the race is on for companies to radically upgrade the computing power of their models. That's where "quantum computing" comes in. Check out this video on Quantum Computing: 4 Things You Need to Know.
 

Pure Play Companies

Pure-play companies concentrates all their efforts on a single line of business, and in this context, it’s quantum computing. Companies that are highly diversified, i.e., do not generate at least 50% of their sales from quantum computing products and services, such as Microsoft (MSFT), Nvidia (NVDA),  Alphabet (GOOGL), Amazon  (AMZN), Advanced Micro Devices (AMD), IBM, Intel (INTC), Honeywell Int'l (HON), and Baidu (BIDU) are excluded from this analysis.
 

 munKNEE's Pure-Play Quantum Computing Stocks Portfolio

Below are how the 4 stocks in the Portfolio performed in June, in descending order, along with a description of their business focus and the latest pertinent news, analyses and commentary on them.

1. Rigetti Computing (RGTI): up 1.9% in June
   • Company Focus: specializes in superconducting qubit technology and has developed a suite of software tools and algorithms for programming and simulating quantum computations
   • Market Capitalization: $164M
   • Latest News, Analyses and Commentary:
     • RGTI joining the Russell 3000^® Index  effective at the open of US equity markets on Monday, July 1^st
2. IonQ (IONQ): down 13.7% in June
   • Company Focus: planning to build a network of quantum computers accessible via the cloud.
   • Market Capitalization: $1,490M
   • Latest News, Analyses and Commentary:
     • IonQ and South Carolina Quantum (SCQ) Launch Faculty & Researcher Quantum Learning Series
3. D-Wave Quantum (QBTS): down 15.6% in June
   • Company Focus: focuses on quantum annealing technology
   • Market Capitalization: $144M
   • Latest News, Analyses and Commentary:
     • D-Wave to Deploy Quantum Computer at New Davidson Technologies Global Headquarters
4. Quantum Computing (QUBT): down 30.6% in June
   • Company Focus: developing photonic qubits that offer a number of key advantages over trapped ions or superconducting qubits
   • Market Capitalization: $46M
   • Latest News, Analyses and Commentary:
     • Quantum Computing Receives Nasdaq Non-Compliance Notice
     • Quantum Computing Reports First Quarter 2024 Financial Results

Summary

The above 4 pure-play QC stocks have an average market capitalization of $120M, were down 13.6% in June, and are now down 35.8% YTD.

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