Arqit Quantum upgraded to Buy after 829% revenue growth and major commercial deployment.

Arqit Quantum Inc. has been upgraded from Sell to Buy following an impressive 829% year-over-year revenue growth in the first half of fiscal year 2026. The company secured accelerating contract wins and shifted towards multi-year recurring deals with telecom and government sectors. A key milestone was the commercial launch of Quantum-Safe Interconnect by Sparkle across 20 Equinix data centers, validating Arqit's technology and moving it from proof of concept to commercial availability. Despite risks like high cash burn and the need for Sparkle to convert this availability into significant recurring revenue in the next 2-4 quarters, the outlook suggests potential near-term upside for Arqit Quantum's stock.