Quantum Computing's 2218% YTD Surge Slides to 430th Trading Volume Amid Institutional Bets and Short Squeeze Risks

On September 3, 2025, Quantum Computing (QUBT) declined 3.32% with a trading volume of $0.23 billion, ranking 430th in market activity. The stock has surged 2,217.9% year-to-date but currently trades at 58% of its 52-week high. Recent institutional activity includes Geode Capital Management increasing its stake to $50.4 million, signaling confidence in the company’s long-term potential.

Quantum Computing Inc. has secured commercial contracts with academic institutions, including a quantum photonic vibrometer order from Delft University of Technology and the first shipment of an entangled photon source to a South Korean research facility. These developments validate its quantum communication and sensing technologies and underscore growing global demand for its solutions in academia and industry.

Despite recent momentum, the stock faces headwinds. Insider selling by the CFO and director totaled 519,871 shares over 90 days, while a Wall Street Zen downgrade to “strong sell” highlights market skepticism. Analysts remain divided, with a consensus target price of $18.50 reflecting a 22.92% upside from its current level. The stock’s elevated price-to-sales ratio of 2,154.10x suggests high expectations for future revenue growth, though profitability remains unproven.

Quantum’s valuation and technical indicators present a mixed picture. Institutional investors have shown recent interest, with Rhumbline Advisers and Nisa Investment Advisors initiating positions in Q2 2025. However, the stock’s beta of 3.88 indicates heightened volatility, and a 21.1% short interest could trigger a squeeze if prices rebound sharply. Analysts note that further bearish capitulation may be near-term, given a 10% decline in short interest over the past month.

Backtest results for the period show a 3.32% decline on September 3, 2025, with a closing price of $15.05. The stock’s 52-week range spans $0.58 to $27.15, and the average analyst target remains $18.50. Institutional ownership now includes 1.6% from Geode Capital Management, while insider ownership stands at 19.3%. The stock’s S&P 500 underperformance and Zacks Rank of #4 (Sell) highlight ongoing risks despite its disruptive technology narrative.