IonQ Inc. (IONQ), a leading player in quantum computing, is set to release its first-quarter earnings this week on May 7. After a volatile start to the year (down 28% year-to-date), IONQ’s performance has raised questions about whether now is the right time to buy. With a strong cash position, continuous tech developments, and strategic acquisitions, IonQ is well-placed for long-term growth. However, as Q1 is typically a slower period and integration costs from recent acquisitions may affect short-term profits, investors may want to wait for clearer post-earnings insights before making investment decisions.
Ahead of the Q1 release, analysts remain bullish, maintaining Buy ratings and categorizing the stock as a Strong Buy overall.
What to Expect from IonQ’s Q1 Earnings
Wall Street analysts expect IonQ to report negative EPS (earnings per share) of $0.26 for Q1, compared to negative EPS of $0.19 in the same quarter last year. Meanwhile, analysts project Q1 revenues to slightly fall by 1.18% year-over-year to $7.51 million, according to the TipRanks Analyst Forecasts Page. IonQ has exceeded sales estimates in 100% of the past 12 months.
Based on the company’s guidance, Q1 revenue is expected to land between $7 million and $8 million, with full-year 2025 guidance ranging from $75 million to $95 million. This implies a back-loaded year, with stronger revenue anticipated in later quarters as new technologies and recent acquisitions start delivering results.
Apart from the numbers, investors should keep an eye on updates regarding IonQ’s technological advancements, especially the XHV technology introduced in February. This innovation seeks to reduce the size and energy usage of quantum systems, which could strengthen IonQ’s competitive edge.
Analysts Stay Bullish Ahead of Q1 Release
Recently, Benchmark’s five-star-rated analyst, David Williams, reaffirmed his Buy rating on IONQ stock. While he lowered his price target from $45 to $40, this still suggests a potential 34% upside over the next year. Despite a modest price target cut amid macro concerns, Williams believes IonQ’s consistent execution, progress toward commercial advantage, and leadership in gate-based quantum systems position it well for long-term growth.
Likewise, top-rated analyst Richard Shannon at Craig-Hallum maintained his buy rating on IONQ stock.
What Is the Price Target for IonQ in 2025?
Turning to Wall Street, analysts have a Strong Buy consensus rating on IONQ stock based on four Buys and one Hold assigned in the last three months. The average IONQ price target of $39.50 implies a 32.5% upside potential.
