Motley Fool Favors IonQ Over Xanadu After 755% Sales Surge and $3.1 Billion Cash Build
Updated
Updated · The Motley Fool · Jun 18
Motley Fool Favors IonQ Over Xanadu After 755% Sales Surge and $3.1 Billion Cash Build
3 articles · Updated · The Motley Fool · Jun 18
Summary
IonQ emerged as Motley Fool’s preferred quantum-computing stock, with the analysis citing stronger commercial traction, a broader technology stack and far deeper funding than newly public Xanadu.
Q1 revenue was the clearest separator: IonQ posted $64.7 million, up 755% year over year, while Xanadu quadrupled sales to $2.8 million after its March 27 IPO.
That growth came with heavy losses. IonQ’s operating loss widened to $271.5 million from $75.7 million after multiple acquisitions, while Xanadu’s rose to $23.3 million from $12.8 million.
Cash reserves also favored IonQ, which ended Q1 with $3.1 billion in cash, cash equivalents and investments versus Xanadu’s $272.5 million, giving it more runway as the sector scales.
Valuation still looked demanding for both, but Xanadu traded at more than 700 times sales versus IonQ at 98, reinforcing the view that IonQ offers the better long-term risk-reward.