If I Could Only Buy 1 Quantum Computing Stock, This Would Be It

Quantum computing may seem like a science fiction technology, but it's coming quicker than most realize. While the previous projection for useful quantum computing technology was 2030, several companies have accelerated their timeline to 2029. With that in mind, investors need to pay attention to this industry, as it could have significant impacts in the tech sector.

One of my favorite companies in this space is IonQ (NYSE: IONQ), and if I were limited to one quantum computing company, I think I'd invest in it. While it may be a high-risk pick, the upside is immense, and some of the other competitors may not feel the impact as greatly as IonQ will.

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IonQ is in a great position to capture early market share

The quantum computing space is full of potent competitors. Legacy companies like Alphabet, Microsoft, and International Business Machines are all competing and have a ton of resources to pour into developing useful quantum computing technology. However, if they achieve this goal, the impact on their overall financial picture will likely be somewhat minimal, making them poor quantum computing investments in terms of maximum upside.

Instead, I'm focusing on IonQ, which is a pure-play quantum computing investment that must make a viable quantum computing product to avoid going bankrupt. That's a stark reality, but it's one that investors in this space must grapple with. The best comparison is a biotech company. Many of these stocks go bust, but the ones that work out make investors a small fortune.

I think IonQ is in a great position to capture a decent chunk of the initial quantum computing market based on how it's directing its technology. Many quantum computing companies are using the superconducting technique, which processes computations quickly, but doesn't have the best accuracy. IonQ is taking the opposite approach and pioneering a technique known as trapped-ion quantum computing, which provides more accurate results, but at a slower speed.

With accuracy being the primary reason why quantum computing isn't available now, this is a major advantage for IonQ.

IonQ is also seeing huge revenue growth, with revenue rising 287% year over year. Some of that growth is from acquisitions that IonQ made, but management also projects 100% organic growth for the year, indicating that there is still plenty of growth in IonQ's core business. IonQ is becoming the largest pure-play quantum computing business, and I think that makes it a horse worth backing.

I think IonQ will find success, making it a stock worth buying today. While it still has a decent chance of failure, I'm OK with a small chunk of my portfolio not panning out in exchange for the potential of a massive winner.

Keithen Drury has positions in Alphabet, IonQ, and Microsoft. The Motley Fool has positions in and recommends Alphabet, International Business Machines, IonQ, and Microsoft. The Motley Fool has a disclosure policy.