This Quantum Stock Is a Key Nvidia Partner and Looks Like a Buy Near a 52-Week Low

Quantum computing hasn't had the same commercial success as artificial intelligence quite yet, but it has the potential to impact many industries. This technology can operate much faster than traditional computers and solve problems that current technology cannot.

Well-known quantum stocks like IonQ and Rigetti Computing have been extremely volatile, with multiple cases of doubling in a single month or losing more than 30% in a single month over the past five years. These stocks can spike sharply as quantum gets closer to commercialization, but investors may want to focus on Infleqtion (NYSE: INFQ) instead, especially as it approaches a 52-week low.

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Infleqtion has a partnership with Nvidia

One thing that Infleqtion has going for it is a partnership with Nvidia, the incredibly successful chip company that's grown to a market cap of nearly $5 trillion. Given its sheer size, Nvidia draws a lot of attention to any collaboration it pursues, given how much money flows into the AI chipmaker's coffers each quarter.

Infleqtion's Nvidia partnership could potentially set it up for billions of dollars once Infleqtion's technology, which integrates quantum computing with existing AI infrastructure, is commercialized.

The infrastructure used in AI data centers is completely different from that in quantum data centers. Infleqtion's technology can serve as a major connector that makes it unnecessary to replace AI data centers with quantum data centers. Infleqtion's Sqale Quantum Processing Unit (QPU) will be connected to Nvidia's NVQLink to enable integration with quantum supercomputing. Infleqtion Chief Technology Officer Pranav Gokhale touted QPUs as "a strong foundation for this new HPC era," which will focus on the "seamless integration of quantum and classical resources into a single unified platform."

Quantum and AI are connected, and Infleqtion's partnership with Nvidia gives it a head start in capitalizing on this opportunity.

Infleqtion already has a large customer footprint

Infleqtion told investors in its first-quarter earnings presentation that it has hundreds of quantum customers. While the company is small, it can potentially make substantial revenue from each customer, especially as the technology gets more effective and is commercialized.

Governments, enterprises, and research companies all have deep pockets. That resulted in only $9.5 million in Q1 revenue for Infleqtion, which was up by 14% year over year, but that's the nature of pure quantum picks. Revenue is low for now, but it can go parabolic at any time. GAAP losses from operations reached $33.6 million, showing that this is a high-risk, high-reward pick.

Infleqtion's customer base has helped lay the groundwork to gain market share in national security, space, and hybrid quantum-AI applications. The company expects these efforts to produce at least $40 million in full-year 2026 revenue.

Infleqtion also revealed that it is developing an atom-based radio-frequency sensing platform due to "growing customer interest." Not only does this indicate customers want to spend more money on quantum, but it also shows that they trust Infleqtion with their capital.

The valuation is a mess

The partnership with Nvidia, positioning in the quantum computing industry, and customer base are major catalysts for Infleqtion. In the long run, the stock can compound quickly once quantum computing is commercialized and goes mainstream.

However, current investors will have to be patient with the valuation. Even if it hits $40 million in full-year revenue, a $2 billion market cap presents a daunting 50 price-to-sales ratio. Furthermore, Infleqtion is burning through cash as it monetizes its innovative technology.

Investors considering Inflection may want to take a small position rather than make it a top holding. It's essentially a lottery ticket backed by some of the biggest leaders in tech, government, and research. You will have to ignore metrics like P/E ratios and price-to-sales ratios for now when analyzing this stock.

Marc Guberti has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends IonQ and Nvidia. The Motley Fool has a disclosure policy.