The start of 2026 hasn’t been smooth sailing for Rigetti Computing (RGTI). The pure-play quantum contender recently pushed the “general availability” of its flagship 108-qubit Cepheus-1-108Q system to the end of the first quarter. The firm cited the need for additional testing and performance optimization, a move that sent ripples through a market already pricing in extreme growth potential for quantum technologies. Cepheus-1-108Q is built from 12 9-qubit chiplets using Rigetti’s proprietary modular chip ...

Core Insights - Quantum computing stocks currently lack staying power due to the technology's expected impact not materializing until around 2030, similar to biotech stocks in clinical trials [1] - If a quantum computing stock is perceived as undervalued, it may be due to negative market sentiment, company struggles, or excessive sell-offs by investors [2] Company Overview - Rigetti Computing, a prominent player in quantum computing, has a market cap of $8 billion but is down over 50% from its all-time high, raising questions about potential buying opportunities [3] - Rigetti employs superconducting technology, which, while not the most accurate, offers superior processing speeds compared to alternatives like trapped ion technology [4][5] Financial Performance - In Q3, Rigetti reported revenue of $1.9 million and an operating loss of $21 million, with approximately $600 million in cash reserves, indicating short-term survival capability [6][7]

Core Insights - Quantum computing stocks have significantly outperformed the market in 2025, with IonQ and Rigetti Computing being notable leaders in the industry [1] - IonQ has seen an 83% increase in stock value, while Rigetti has experienced a remarkable 325% growth over the past year [1] Company Approaches - IonQ and Rigetti employ different technologies for quantum computing; Rigetti uses superconducting techniques, while IonQ utilizes trapped-ion technology [2] - Rigetti's systems achieve gate speeds that are 10,000 times faster than IonQ's trapped-ion systems, but IonQ has superior accuracy with a fidelity of 99.99% compared to Rigetti's 99.5% [3] Industry Viability - In quantum computing, achieving near 100% fidelity is crucial for commercial viability, as even a 0.49% difference can lead to incorrect calculations [4] Financial Performance - IonQ has reported $80 million in revenue over the trailing 12 months, reflecting a 493% growth over the last three years, while Rigetti's revenue has declined by 43%, totaling $7 million [5] - IonQ's higher fidelity contributes to its significantly better earnings compared to Rigetti [5] Investment Outlook - For investors optimistic about quantum computing, acquiring shares in both companies is suggested, but IonQ is favored due to its greater accuracy and revenue growth [6]

This quantum computing stock delivered massive gains but faces serious risks. Find out what Wall Street may be missing next.Rigetti Computing (RGTI +3.62%) is one of the most controversial quantum stocks, blending massive historical gains with shrinking revenue and dilution risk. This video breaks down the upside, the red flags, and what needs to go right for long-term investors.Stock prices used were the market prices of Jan. 9, 2026. The video was published on Jan. 12, 2026. ...

Industry Overview - Quantum computing is still in the experimental phase, with significant challenges such as error-proneness and stability of qubits needing to be addressed [2][3] - Companies are making progress, with Nvidia's CEO indicating that quantum computing is nearing an inflection point for solving practical problems [4] D-Wave Quantum - D-Wave is recognized as a leader in quantum annealing, focusing on finding optimal solutions for specific problems rather than solving complex mathematical problems [6] - The company has a market cap of $10 billion, with a current price of $28.83 and a gross margin of 82.82% [8] - D-Wave has over 100 paying customers and is experiencing growth in revenue and bookings, while also moving into gate-based quantum computing [8][9] - The acquisition of Quantum Circuits aims to develop an error-correcting, gate-based system [9] Rigetti Computing - Rigetti is pursuing a universal gate-based quantum system, which is expected to solve more complex computational problems [10] - The company has a market cap of $8.5 billion, with a current price of $25.62, but has a significantly negative gross margin of -6849.48% [11][12] - Rigetti's systems are reported to be over 1,000 times faster than competitors, but it lags in accuracy, achieving only 99.5% 2-gate fidelity compared to IonQ's 99.99% [12] - The company has minimal revenue and faced setbacks, including not advancing in the DARPA Quantum Benchmarking Initiative and delaying the availability of its new 108-qubit machine due to fidelity issues [13][15] Comparative Analysis - D-Wave is preferred for its established niche in quantum annealing and its strategic move towards gate-based systems, which could leverage its existing business [14] - Rigetti's challenges with accuracy and setbacks in key programs highlight its competitive disadvantages [15]

Core Insights - The upcoming fourth-quarter 2025 earnings season is critical for three quantum computing companies: D-Wave Quantum, Rigetti, and IonQ, as it will reveal their ability to convert quantum technology into revenue [1][11] Group 1: Company Performance - IonQ's third-quarter revenues increased by 222% year over year, with expectations for fourth-quarter revenues to surpass the third quarter [2][18] - D-Wave reported nearly doubled revenues of $3.7 million in the third quarter, with record bookings of $2.4 million and a strong pipeline, including a €10 million contract [8][11] - Rigetti's third-quarter revenues were $1.9 million, down year over year, but recent orders and contracts are expected to improve fourth-quarter revenues [14][15] Group 2: Market Sentiment and Stock Performance - During the fourth quarter of 2025, D-Wave's stock gained 2%, while Rigetti and IonQ saw declines of 25.8% and 28.9%, respectively, due to investor skepticism about high valuations and broader tech sentiment [4][5] - The overall market sentiment weakened in late 2025, leading to significant stock corrections for these companies [5] Group 3: Financial Outlook - D-Wave's fourth-quarter revenue growth is expected to be gradual due to deferred revenue recognition from multi-year contracts, despite strong bookings exceeding $12 million [9][12] - Rigetti is projected to report fourth-quarter earnings growth of 37.5% on revenue growth of 17.7%, with no formal guidance for 2025 [16][17] - IonQ is expected to report fourth-quarter earnings growth of 48.4% on revenue growth of 244.2%, supported by strong commercial interest and a robust cash position of about $3.5 billion [20][19] Group 4: Investor Strategy - Investors are advised to adopt a long-term allocation strategy in this emerging sector, given the volatility and valuation sensitivity of these quantum computing stocks [21]

Rosenblatt Securities launched coverage of Rigetti Computing (RGTI) with a “Buy” rating and an ambitious $40 price target. The target implies a potential of around 60% from current levels as Wall Street grows increasingly bullish on quantum computing's commercial potential. Analyst John McPeake highlighted the company's modular approach to scaling quantum processors and its internal fabrication capabilities as key competitive advantages in the rapidly evolving sector. More News from Barchart The optim ...

Core Insights - Quantum computing stocks have seen significant price increases, with some rising by up to 5,400% in 2024, attracting investor interest despite skepticism from industry insiders [2][3][10] - The global addressable market for quantum computing is projected to reach $1 trillion by 2035, indicating substantial long-term growth potential [3] - High-profile partnerships with major companies like Amazon and Microsoft are enhancing the visibility and credibility of quantum computing firms [5][6] Company Performance - Quantum computing companies such as IonQ, Rigetti Computing, D-Wave Quantum, and Quantum Computing Inc. are expected to experience triple-digit annual sales growth, with Rigetti's revenue projected to increase from less than $8 million in 2025 to $152 million by 2029 [9] - D-Wave Quantum's revenue is anticipated to rise from less than $26 million in 2025 to $219 million by 2029, showcasing the growth trajectory of these firms [9] Insider Activity - Over the past three years, insiders of quantum computing companies have sold approximately $840 million more in stock than they have purchased, raising concerns about the companies' future prospects [12][13] - Notably, there has been minimal insider buying activity, with Quantum Computing Inc. and Rigetti Computing showing no insider purchases during this period, which may signal a lack of confidence in the stock's future performance [16][17] Market Dynamics - The surge in quantum computing stocks in 2025 was partly fueled by a report from JPMorgan Chase outlining a $1.5 trillion initiative that includes quantum computing as a critical area for investment [7][8] - Despite the excitement surrounding quantum computing, the high price-to-sales ratios of these stocks suggest they may be overvalued, indicating potential market corrections in the future [17][18]

Rigetti Computing FY Conference Summary Company Overview - **Company**: Rigetti Computing (NasdaqCM:RGTI) - **Founded**: 2013 - **Headquarters**: Berkeley, California - **Industry**: Quantum Computing - **Technology**: Focus on superconducting qubits, which are considered the leading modality in quantum computing due to scalability and speed [1][4] Key Points and Arguments Quantum Computing Technology - Rigetti's quantum computers utilize superconducting qubits, achieving gate speeds of 50-70 nanoseconds, significantly faster than other modalities like ion traps [1][5] - The company has developed the first multi-chip quantum processor for scalable systems, manufacturing QPUs in-house at Fab 1, the first dedicated quantum device manufacturing facility [1][4] - Over 90% of current investments in quantum computing are in superconducting gate technology, with major players including IBM, Google, and the Chinese government [5] Scalability and Speed - Scalability and gate speed are critical advantages of superconducting technology, with Rigetti's systems operating at speeds comparable to CPUs and GPUs [5][6] - Historical challenges in fidelity for superconducting qubits have improved, with recent advancements showing fidelity rates of 99.5%-99.7% [8] Go-to-Market Strategy - Rigetti has chosen a hybrid approach, selling both physical quantum computers and offering quantum computing as a service [10] - The company tailors its offerings based on customer needs, providing either complete systems or just QPUs depending on existing infrastructure [13][14] Quantum Advantage - Rigetti is conservative in its estimates, projecting that quantum advantage could be achieved in about three years, requiring at least 1,000 qubits, 99.9% fidelity, and 50 nanosecond gate speeds [18][19] - The company emphasizes the importance of demonstrating clear superiority over classical computing in practical applications [19][21] Roadmap and Future Goals - Immediate goal is to deploy a 108-qubit system with 99.5% fidelity and 60-nanosecond gate speed by the end of Q1 2026 [33] - Plans to exceed 150 qubits at 99.7% fidelity within the year, with a long-term goal of reaching 1,000 qubits at 99.8% fidelity by 2027 [35] Partnerships and Collaborations - Rigetti has partnered with various companies for different aspects of its technology stack, including Riverlane for error correction and NVIDIA for distribution layer software [40][41] - The company believes in an open and modular architecture, allowing for integration of innovative solutions from other firms [39] Government Funding and Market Outlook - The U.S. government is expected to increase funding for quantum computing significantly, with recent initiatives indicating a commitment to maintaining leadership in the field [69][70] - Rigetti anticipates that the market for quantum computing will grow to approximately $3 billion by 2030 and $15-$20 billion by 2035 [17] Customer Base and Applications - Current customers include Fermilab, Air Force Research Laboratory, and Montana State University, primarily using systems for research applications [60] - The company does not foresee practical workloads being handled by quantum computers until quantum advantage is achieved [60] Additional Important Insights - Rigetti's balance sheet is strong, with $600 million in cash and no debt, allowing for a focus on organic growth and technology milestones [70] - The company stresses the need for patience in the quantum computing sector, indicating that significant advancements will take time [72]

Core Insights - Rigetti Computing's update on its 108-qubit Cepheus-1-108Q system indicates a focus on performance discipline, delaying general availability to late Q1 2026 for further testing and optimization to achieve 99.5% median two-qubit gate fidelity [1][9] Company Updates - Rigetti has demonstrated 99% median two-qubit fidelity on the 108-qubit system and higher fidelities on its 9-qubit and 36-qubit platforms, indicating that the technical foundation is solid despite the delay [2][9] - The complexity of scaling modular quantum systems is highlighted, with the Cepheus-1-108Q system comprising 12 9-qubit chiplets connected via tunable couplers, leading to new engineering challenges [3] - Rigetti's decision to refine chiplet couplers suggests a commitment to launching a system that meets performance benchmarks rather than rushing to market [3][4] Market Position - The timeline adjustment may enhance Rigetti's credibility with partners and customers who value reliable quantum performance, positioning the update as a strategic recalibration for long-term value creation [4] - Rigetti's shares have increased by 99.9% over the last six months, contrasting with a 7.6% decline in the industry [8] Valuation and Earnings Estimates - Rigetti trades at a price-to-book ratio of 22.66, which is above the industry average, and carries a Value Score of F [11] - The Zacks Consensus Estimate for Rigetti's 2025 earnings indicates an 88.9% decline from the previous year [12]