Is Rigetti Computing Stock Your Ticket to Becoming a Millionaire?

Core Viewpoint - Rigetti Computing's stock experienced a dramatic surge of nearly 2,000% in late 2024, but subsequently lost about half its value in 2025 due to doubts about the readiness of quantum technology for commercial use [1][5]. Company Overview - Rigetti Computing operates in the quantum computing sector, utilizing qubits which allow for a broader range of values compared to traditional bits, significantly enhancing computing power [3]. - The company has a market capitalization of over $2.3 billion and is set to release a 36-qubit system in mid-2025, followed by a 100-qubit system aimed at reducing error rates by 2x by the end of the year [4]. Financial Performance - In 2024, Rigetti reported revenues of$10.8 million, a decrease of 10% from the previous year, resulting in an operating loss of $68.5 million [6]. - The company faced a total loss of$201 million in 2024, which is significantly higher than the $75 million loss recorded in 2023 [6]. - Rigetti's negative free cash flow was nearly$62 million in 2024, with current liquidity of $192 million, allowing it to operate for approximately three more years without additional funding [7]. Market Position and Challenges - The company is under pressure to issue additional shares or incur more debt to sustain operations, raising concerns about its competitive position against larger firms like Alphabet [8]. - Valuation metrics are challenging, with a price-to-sales ratio exceeding 140 and a price-to-book ratio of 18, which may deter potential investors [9]. - Despite the potential for exponential growth in quantum computing, Rigetti's prospects for commercial success appear distant, leading to skepticism about its ability to generate revenue in the near term [11][12].