IonQ (NYSE:IONQ) Releases Quarterly Earnings Results, Beats Expectations By $0.28 EPS

IonQ (NYSE:IONQ) released its quarterly earnings data on Wednesday. The company reported ($0.20) earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of ($0.48) by $0.28, FiscalAI reports. The business had revenue of $61.89 million for the quarter, compared to analysts’ expectations of $40.38 million. IonQ had a negative return on equity of 127.06% and a negative net margin of 1,836.32%.

IonQ Stock Up 6.4%

IONQ stock traded up $2.01 during midday trading on Wednesday, reaching $33.63. 23,809,461 shares of the company’s stock traded hands, compared to its average volume of 20,014,248. The company has a 50-day simple moving average of $43.14 and a two-hundred day simple moving average of $50.51. IonQ has a 1-year low of $17.88 and a 1-year high of $84.64. The company has a market cap of $11.69 billion, a price-to-earnings ratio of -6.29 and a beta of 2.63.

Trending Headlines about IonQ

Here are the key news stories impacting IonQ this week:

• Positive Sentiment: Won a sizable defense award: IonQ was named to the Missile Defense Agency’s SHIELD IDIQ (ceiling $151B), positioning the company for multiple potential government engagements that could drive revenue and credibility in defense markets. IonQ Selected to Support Missile Defense Agency SHIELD IDIQ Contract
• Positive Sentiment: Expanding federal go-to-market: IonQ added hires to its federal GTM team to pursue military and civilian quantum contracts — a move that supports the SHIELD opportunity and increases the company’s ability to capture government spend. IonQ Expands Federal GTM Team as It Pursues Defense, Civilian Quantum Work
• Positive Sentiment: Longer-term product and commercial roadmap: IonQ laid out a roadmap and foundry strategy through 2030 (including 256-qubit milestones and a reported $1.8B foundry deal) that, if executed, targets meaningful revenue scale. This underpins the bullish strategic case. IonQ’s Quantum Roadmap and Foundry Strategy Through 2030
• Neutral Sentiment: Upcoming Q4 report is the focus: Multiple previews flag tonight’s earnings as the immediate catalyst — revenue growth and guidance will matter more than EPS for a growth-stage quantum company. Expect volatility around the print. IonQ Earnings Preview: What To Expcet From Upcoming Report
• Neutral Sentiment: Peer-comparison and expectations: Analysts are comparing IonQ to peers (e.g., QBTS) to judge which name has the stronger momentum and path to scale; that framing means relative guidance and growth metrics will influence sentiment. IONQ or QBTS: Which Stock Has the Edge Ahead of Q4 Earnings This Week?
• Neutral Sentiment: Investor sentiment has shifted since last year’s surge: institutional flows that drove earlier gains have cooled, leaving the name more sensitive to near-term execution and catalysts. Institutional Investors and Hedge Funds Sent an Unmistakable Message to Quantum Computing Stocks IonQ, Rigetti Computing, and D-Wave Quantum
• Negative Sentiment: Analyst downgrades and target cuts: Some price targets were trimmed ahead of earnings and the stock has shown a large peak-to-trough move recently, increasing downside risk if results disappoint. IonQ’s Price Target Takes a Hit As The Stock Heads Into Earnings
• Negative Sentiment: Valuation scrutiny ahead of earnings: Commentary frames tonight’s report as a binary test of IonQ’s ~ $16B market cap — failure to show clear, accelerating commercial traction could trigger a larger sell-off. IonQ Faces a $16 Billion Valuation Test When Earnings Drop Tonight

Wall Street Analysts Forecast Growth

Several brokerages have issued reports on IONQ. Morgan Stanley lowered their price target on shares of IonQ from $58.00 to $35.00 and set an “equal weight” rating on the stock in a report on Monday. Zacks Research upgraded shares of IonQ from a “strong sell” rating to a “hold” rating in a research report on Tuesday, November 4th. Mizuho began coverage on shares of IonQ in a research report on Thursday, December 11th. They issued an “outperform” rating and a $90.00 price target for the company. Needham & Company LLC reaffirmed a “buy” rating and set a $80.00 price objective on shares of IonQ in a report on Tuesday, January 27th. Finally, Cantor Fitzgerald reiterated an “overweight” rating on shares of IonQ in a research note on Monday, February 9th. Nine analysts have rated the stock with a Buy rating, six have issued a Hold rating and one has given a Sell rating to the company’s stock. Based on data from MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and an average price target of $73.82.

Insider Activity at IonQ

In other news, Director Kathryn K. Chou sold 5,000 shares of the stock in a transaction on Monday, December 22nd. The stock was sold at an average price of $55.00, for a total transaction of $275,000.00. Following the sale, the director owned 60,839 shares in the company, valued at approximately $3,346,145. This represents a 7.59% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Insiders own 5.20% of the company’s stock.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently added to or reduced their stakes in IONQ. Beaird Harris Wealth Management LLC increased its position in IonQ by 117.4% in the 3rd quarter. Beaird Harris Wealth Management LLC now owns 500 shares of the company’s stock valued at $31,000 after acquiring an additional 270 shares in the last quarter. EverSource Wealth Advisors LLC grew its stake in shares of IonQ by 50.5% during the second quarter. EverSource Wealth Advisors LLC now owns 831 shares of the company’s stock valued at $36,000 after purchasing an additional 279 shares during the last quarter. Prosperity Wealth Management Inc. increased its holdings in shares of IonQ by 4.7% in the third quarter. Prosperity Wealth Management Inc. now owns 8,400 shares of the company’s stock valued at $517,000 after purchasing an additional 375 shares in the last quarter. Hilltop Holdings Inc. raised its position in IonQ by 2.6% in the 3rd quarter. Hilltop Holdings Inc. now owns 16,253 shares of the company’s stock worth $1,000,000 after purchasing an additional 417 shares during the last quarter. Finally, MML Investors Services LLC raised its position in IonQ by 2.5% in the 2nd quarter. MML Investors Services LLC now owns 18,511 shares of the company’s stock worth $795,000 after purchasing an additional 444 shares during the last quarter. Institutional investors and hedge funds own 41.42% of the company’s stock.

About IonQ

IonQ, Inc engages in the development of general-purpose quantum computing systems in the United States. It sells access to quantum computers of various qubit capacities. The company makes access to its quantum computers through cloud platforms, such as Amazon Web Services (AWS) Amazon Braket, Microsoft’s Azure Quantum, and Google’s Cloud Marketplace, as well as through its cloud service. It also provides contracts associated with the design, development, and construction of specialized quantum computing hardware systems; maintenance and support services; and consulting services related to co-developing algorithms on quantum computing systems.