IonQ (IONQ) Stock Is Down 50%. Is This Quantum Computing Stock a Buy?

Depending on the circumstances, investing in quantum computer developer IonQ (NYSE:IONQ | IONQ Price Prediction) can be thrilling or gut-wrenching. One thing’s for sure: you won’t get bored with the price action of IonQ stock. 

Not long ago, IONQ stock was in rally mode and it felt like there was more explosive growth ahead. Now, however, the IonQ share price has practically been cut in half and sentiment is in the gutter.

Yet, the drawdown isn’t necessarily bad news and could provide an attractive entry point for investors. After some research and consideration, you may decide that IonQ stock is a worthy buy-and-hold to capitalize on the quantum computing revolution.

The Hangover After the Party Ends

A stock moonshot, especially in a relatively new field like quantum computing, is like a wild party. When the party ends, there’s often a hangover period and it’s no fun at all (unless you’re a short seller).

The party was in full effect for IONQ stockholders in October, when the share price hit a peak of $84.64. Those were fun times, but they weren’t destined to last long.

Before the end of 2025, IonQ pulled back to around $40; more recently, it hovered near $45. It’s a painful hangover, no doubt, for anyone who bought shares near the top.

Maybe this was a necessary price correction since IONQ stock had more than doubled in less than a year. So, is the stock now a prime bargain in its hangover phase?

That’s not easy to determine if you’re using traditional valuation metrics. For example, IonQ doesn’t have a price-to-earnings (P/E) ratio as it doesn’t have positive earnings — but we’ll discuss that topic in a moment.

The point is that a reduced share price isn’t the same thing as a real bargain. Investors need to research the company’s recent financials before making any dip-buy decisions, so we’ll conduct some due diligence right now.

Is Quantum Computing Profitable?

During the early stages of a new technology, profitability may be out of reach. This unprofitable phase can persist for years, and as we examine IonQ’s financials, it appears that quantum computing is still a costly venture.

You’ll see what I mean when we dive into IonQ’s third-quarter 2025 earnings data. The company’s Form 10-Q tells a tale of a tech innovator that’s still spending heavily in multiple areas.

For what it’s worth, IonQ’s revenue skyrocketed from $12.4 million in the year-earlier quarter to $39.866 million in Q3 2025. That’s not the full story, though.

During that same time frame, IonQ’s net earnings loss ballooned from $52.496 million to an eye-watering $1.056 billion. How is this possible when IonQ’s revenue expanded rapidly?

It’s possible because IonQ’s expenditures increased in all major areas: research and development, sales and marketing, and so on. Believe it or not, IonQ’s total operating costs and expenses grew 218%, from $65.535 million in the year-earlier quarter to $208.679 million in Q3 2025.

That’s alarming for anyone who likes to see financial discipline. We can make some allowances for an emerging technology like quantum computing, but until IonQ reins in its expenditures, it’s difficult to recommend buying IONQ stock.

Even More Spending for IonQ

Evidently, IonQ’s spending spree didn’t end in 2025’s third quarter. On Wednesday, the company announced that it had finalized its acquisition of semiconductor foundry SkyWater Technology (NASDAQ:SKYT).

The press release with this announcement touted the potential benefits of the SkyWater acquisition. IonQ CEO declared, “We look forward to bringing our quantum platform solutions” to SkyWater Technology’s “existing government, aerospace, and defense customers.”

That’s all well and good, but the SkyWater buyout will cost IonQ approximately $1.8 billion. As a reminder, IonQ recently lost $1.056 billion in a three-month period.

Going forward, IonQ has to prove that it can recoup the $1.8 billion it’s spending on SkyWater Technology. This will be a “show-me” story that may have to play out over multiple quarters or even years.

For now, what we know for certain is that IonQ’s spending habit hasn’t subsided. The company’s actions suggest a “buy now, profit later” philosophy that’s highly speculative since future profits aren’t guaranteed. 

Consequently, I’m reluctant to buy IONQ stock even after a share price drawdown of nearly 50%. If IonQ controls its spending and starts to close the profitability gap, I might be tempted to purchase a few shares. Currently, however, it’s too soon to say that IonQ shares are a must-own in 2026.