# Growth Investors Find Winners Amidst Market Stagnation in 2025
Growth investors face challenges in 2025 as the **S&P 500** remains flat year to date due to President Trump’s trade policies and ongoing inflation. Despite this, new winners are emerging, led by advancements in artificial intelligence (AI), telehealth, and computing technologies.
## A Rise in Market Inequality
The difference between top-performing stocks and the broader market is striking. While major indices stagnate, companies that are developing AI infrastructure and advanced data solutions have shown extraordinary growth in 2025.
## Notable Growth Stocks
### Quantum Computing Leader: IonQ
**IonQ** (NYSE: IONQ) is at the forefront of quantum computing with its trapped-ion systems. Unlike traditional computers, IonQ’s technology uses quantum mechanics to enhance problem-solving capabilities. Its systems are available on major cloud platforms like **Amazon** Web Services, **Microsoft** Azure, and **Alphabet’s** Google Cloud.
Year-to-date, IonQ shares are down 3.4% but have surged 47% in the last month. For Q1 2025, the company reported revenue of $7.6 million, nearly unchanged from the previous year. However, management projects full-year revenue between $75 million and $95 million, indicating around 97% growth compared to 2024, thanks to significant contracts like a $22 million deal for a commercial quantum hub in Chattanooga.
IonQ has a robust balance sheet with $697 million in cash, which is essential for long-term growth. The company’s expansion into quantum networking through its acquisition of ID Quantique enhances its competitive edge.
### AI Software Platform: Palantir Technologies
**Palantir Technologies** (NASDAQ: PLTR) has also seen remarkable performance, with shares up 74.2% this year. The company, traditionally focused on government contracts, is now successfully penetrating the enterprise market with its AI Platform. Total revenue rose by 39% year-over-year to $884 million in Q1 2025, driven by a 71% increase in U.S. commercial revenue to $255 million.
Palantir secured 139 contracts exceeding $1 million in the quarter, including 31 contracts exceeding $10 million. The company’s onboarding strategy accelerates customer adoption, enabling faster implementation of AI applications.
Currently trading at 238 times forward earnings, Palantir’s valuation could be justified by its position at the nexus of significant trends in AI adoption and data consolidation. If it maintains over 50% revenue growth while expanding its operating margins, its current valuation may soon appear attractive.
## Investment Considerations
Before investing in IonQ, it’s worth noting that analysts have identified the **10 best stocks** to buy right now, and IonQ is not included. The performance of past recommendations, such as **Netflix** and **Nvidia**, underscores this caution.
Current market conditions indicate that investors may want to weigh IonQ’s potential against established alternatives to maximize returns.
