Shares of Quantum Computing Inc. (QUBT) are soaring 11.59% in pre-market trading on Friday, as investors react enthusiastically to a significant analyst upgrade. The surge comes after Ascendiant Capital Markets nearly doubled its price target for the quantum computing firm, signaling growing confidence in the company's future prospects.

Ascendiant Capital Markets analyst Edward Woo reiterated a Buy rating on QUBT and dramatically raised the price target to $40 from $22. This new target suggests an impressive 86% upside potential from the stock's previous closing price. Woo's bullish stance is rooted in his belief that Quantum Computing is well-positioned to capture a meaningful market share in the rapidly growing quantum computing industry, which is projected to reach $72 billion by 2035.

The positive sentiment extends beyond Quantum Computing Inc., with other players in the quantum computing sector also experiencing notable gains. This broader rally underscores the increasing investor interest in quantum technology, despite some critics arguing that the technology has yet to reach its full potential. As Quantum Computing Inc. continues to develop its quantum-ready software and hardware solutions, including its Dirac-3 quantum computer and thin film lithium niobate foundry, the company appears poised to capitalize on the growing demand for high-performance computing in an increasingly data-driven world.