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Invest in the Future : Top Quantum Stocks in India 2024

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Published Date: 04 Nov 2024Updated Date: 04 Nov 20246 mins readBy MOFSL

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Introduction

Quantum computing is a steadily emerging sector poised to transform all fields, including scientific research, cybersecurity, healthcare, and finance. As of 2024, this segment is valued at over $1.3 billion, with an expected annual growth rate of 32.7%. It is estimated to be over $5 billion within the next few years. The increased demand and utilisation of quantum computing technologies, such as superconducting qubits, quantum annealing, and so on, has driven this growth.

Investing in quantum computing stocks is a simple way for investors to capitalise on this growth. These stocks represent a company's shares in the development and commercialisation of technology related to quantum computing. This revolutionary technology is fuelled by the progress in creating powerful quantum computers capable of solving complex problems quicker than traditional computers.

Read on to learn about the benefits and top considerations for investing in quantum computing stocks. You will also be given a list of the leading quantum stocks in India.

Benefits of Quantum Computing Stocks

Here are the different benefits of investing in quantum computing stocks.

This technology can potentially revolutionise various industries, ranging from healthcare and technology to finance and cybersecurity.
This field offers incredible growth potential, making the companies focused on it a worthy investment.
Since this sector is still in its initial stages of development, investors can capitalise on it through an early investment advantage.
The increased demand for quantum computing in different sectors directly translates to increased profitability for companies engaged in it.

Top Considerations While Investing in Quantum Stocks

Here are some important considerations for investors interested in quantum computing stocks.

Consider the company's interest and investment in the research and development of novel quantum technologies.
Check for a company's patents and other intellectual properties in this field for a competitive edge.
Consider any partnerships and collaborations with other players in this field.
Review the company's financial and market position in terms of financial health and positioning compared to its competitors.

India's Top Quantum Stocks of 2024

Here are some of the leading quantum computing stocks of 2024 in India.

Tata Consultancy Services (TCS)

TCS, part of the Tata Group, is a leading Indian IT company. With a market capitalisation of ₹13,28,181.84 crores, a P/E ratio of 28.5, and a brand value of $13.5 billion, since 2015, TCS utilised over 80% of its cash flow for dividends. Considering all this, it's among the best quantum stocks in 2024.

HCL Technologies Limited

It is one of the leading Indian IT companies that provides business process outsourcing (BPO) and software-led IT solutions. Around 72% of its revenue in 2022 came from IT and business services, with 56% originating in the US. HCL also signed several deals approximating to $8.3 bullion. To further expand its global presence, it acquired a majority stake in GBS-Gesellschaft fur Banksysteme. It is a top choice for investors in quantum stocks with a market capitalisation of ₹3,59,316.4 crores and a P/E ratio of 22.88.

Wipro Limited

Positioned as India's fourth largest IT company, 97% of its revenue is from core IT services. Its $1.5 billion acquisition of Capco in 2021 further strengthened its financial services segment. Wipro's primary focus on providing exemplary digital and consulting services propels its growth. With a current market capitalisation of ₹2,29,094.17 crores and a P/E ratio of20.74, it is one of India's best quantum computing stocks.

Infosys Limited

Infosys boasts over $100 million in annual revenues and a diverse client base that offers technology and consulting services. It is also the second-largest Indian IT company. Infosys aims to expand its profit margins by developing new solutions and technology. It is an excellent option for investors looking to invest in quantum stocks, given its favourable P/E ratio of 22.44 and a market capitalisation of ₹5,83,985.54 crores.

Mphasis Limited

With a specialisation in AI and Cloud services, Mphasis Ltd also has a commendable presence in the financial and banking services segments. In 2023, it bagged several major deals worth over $1.3 billion. Its continued strategic partnership with leading investors, such as the Blackstone Group, has positioned it for an upward growth trajectory. With a market capitalisation of ₹43,173.21 crores and a P/E ratio of 27.77, it is among the leading quantum stocks in India.

Tech Mahindra Limited

With global operations in over 90 countries, Tech Mahindra's primary business focus is on quantum computing, 5G, blockchain, and other next-gen technologies. This is why Tech Mahindra is perfect for investors interested in quantum stocks. It also has a market capitalisation of ₹1,20,010.4 crores and a P/E ratio of 50.9.

Conclusion

Investors can now stake claims in the rapidly developing information technology sector by investing in quantum computing stocks. However, before making an investment decision, consider the risks involved, the company's fundamentals and growth objectives, and your investment criteria.