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CANADA - 2025/09/15: In this photo illustration, the IonQ logo is seen displayed on a smartphone screen. (Photo Illustration by Thomas Fuller/SOPA Images/LightRocket via Getty Images) SOPA Images/LightRocket via Getty Images IonQ (IONQ) has been one of the market’s most closely watched quantum computing names — a company at the frontier of a transformative technology, but also one still searching for consistent profitability. After a strong run earlier in the year, investor sentiment has cooled amid broader pressure on speculative tech and concerns over execution timelines. The key question for investors now: is IonQ’s pullback a buying opportunity or a warning sign? IONQ stock has declined by 20.3% over the course of 21 trading days. While historical data indicates that price declines typically recover, there exists a risk – particularly related to profitability and downturn resilience. Consider the following information: Size: IonQ is a $15 Bil company with $52 Mil in revenue that is currently trading at $58.40. Fundamentals: The revenue growth over the last 12 months is 67.8%, accompanied by an operating margin of -700.6%. Liquidity: It has a Debt to Equity ratio of 0.0 and a Cash to Assets ratio of 0.4. Valuation: Currently, IonQ stock is traded at a P/E multiple of -31.6 and a P/EBIT multiple of -39.9. While we prefer to purchase dips when the fundamentals align – for IONQ, see Buy or Sell IONQ Stock – we remain cautious of falling knives. Specifically, it is important to ponder whether, in a scenario where IONQ drops another 20-30% to approximately $41, we would be able to maintain our stock positions. What would be the worst-case outcome? We label this potential outcome as downturn resilience. Interestingly, the stock has performed significantly worse than the S&P 500 index during various economic downturns. We evaluate this based on (a) the extent of the stock's decline and (b) the swift recovery that followed. Investing in a single stock can be hazardous; however, a broad, diversified strategy holds significant value. Should you invest in a single stock you favor or create a portfolio aimed at achieving success across cycles? Our analysis indicates that the Trefis High Quality Portfolio has effectively transformed stock-picking unpredictability into consistent market-beating results. This portfolio is integrated into the asset allocation strategy of Empirical Asset Management — a wealth manager based in the Boston area and a partner of Trefis — whose asset allocation framework produced positive returns during the 2008-09 period, at a time when the S&P faced losses exceeding 40%. Below are the specifics; however, before that, as a brief overview: IONQ provides general-purpose quantum computing systems accessible through major cloud platforms, including AWS, Microsoft Azure, and Google Cloud Marketplace. MORE FOR YOU 2022 Inflation Shock IONQ stock declined by 90.0% from a high of $31.00 on 17 November 2021 to $3.10 on 27 December 2022, compared to a peak-to-trough decline of 25.4% for the S&P 500. Nonetheless, the stock fully regained its pre-Crisis peak by 21 November 2024. Since that point, the stock has risen to a high of $82.09 on 13 October 2025 and is currently trading at $58.40. 2022 inflation shock details It is prudent to consider how low IONQ may drop during a downturn. Additionally, you should examine how the stock performed in comparison to the Trefis High Quality (HQ) Portfolio, which encompasses 30 stocks and has a history of comfortably outperforming its benchmark that includes all three indices — the S&P 500, S&P mid-cap, and Russell 2000. What accounts for this? Collectively, HQ Portfolio stocks have delivered superior returns with reduced risk when compared to the benchmark index; offering a smoother investment journey, as evidenced in HQ Portfolio performance metrics. Editorial StandardsReprints & Permissions
