Quantum computing, AI stocks rise as Nvidia kicks off annual conference
The five-day GTC AI conference, which was already underway, will devote an entire day to quantum computing and feature executives from notable firms including D-Wave Quantum and Rigetti Computing.
Several quantum computing stocks jumped, with D-Wave Quantum (QBTS.N), opens new tab up 9.4%, while Quantum Corp (QMCO.O), opens new tab and Quantum Computing (QUBT.O), opens new tab gained 23.1%, and 15.5%, respectively.
Other AI-linked stocks gained in choppy trading, with SES AI (SES.N), opens new tab soaring 30% and Dell Technologies (DELL.N), opens new tab up 3%.
Investors will focus on CEO Jensen Huang's keynote on Tuesday to assess the latest developments in the AI and chip sectors, which have lost some luster on concerns over competing AI products in China and worries over the impact of U.S. tariffs.
"If tomorrow's presentation is broadly positive, I don't think it would take an awful lot to see some big upward moves in anything related to AI (or) quantum (computing) from current levels," said David Morrison, senior analyst at Trade Nation.
"Looking at how oversold so many of these stocks are, it's just a question of getting a catalyst for people to come back in and redeploy funds."
The fresh focus on quantum computing is a change of pace for Huang, after his comments in January that the technology was decades away from practical use sparked a steep selloff in related stocks.
"They call this the 'Woodstock' of AI," said Ken Mahoney, CEO of Mahoney Asset Management. "If (Huang) says something a little more encouraging, that could add some boost for these stocks."
Nvidia is expected to reveal details of a new chip system, hint at plans in other computing markets including robotics and provide updates on its Blackwell Ultra chip.
Trading was volatile, however, with Rigetti Computing (RGTI.O), opens new tab reversing premarket gains.
Nvidia also reversed early gains and was last down 1.8%. The stock has slumped 11% this year after a blistering 171% rally in 2024.
"To get the AI space excited again, they have to go a little off script from what we're expecting," Mahoney said.
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