Play the Possibilities of Quantum Computing with NVE Corp (NVEC)

As the physical limitations of traditional semiconductors approach, development focus is being shifted to the incredible possibilities of quantum computing.  NVE Corp (NVEC) and its nanotechnology featuring "spintronics" is one of the few pure play quantum computing stocks in the market today.

NVEC shares have seen strong momentum since mid January and are just off the June 2008 52-week high of $39.60.  Volume has also picked up recently from its three month average of just over 70,000 shares a day.  After a 12% increase on Wednesday, the stock has pushed through its 50-day moving average and could be setting up to break through $40/share on any strong technology based rally.

Growth is the story behind NVE Corp.  While there is a lot of growth currently priced into its shares, the price to earnings growth multiple stands at a reasonable 0.74.  Combine that with gross margins of close to 70%, net income margins of nearly 40% and a huge market opportunity, and investors could find that NVEC's short term momentum may also lead to long term returns.