Rigetti Computing vs. Taiwan Semiconductor: Wall Street Says Buy One and Sell the Other

Core Insights - Quantum computing has the potential to transform various industries, including drug development, cybersecurity, and engineering [1] - Major tech companies are investing in quantum applications, while pure-play quantum computing firms like Rigetti Computing have seen significant stock price increases, with Rigetti's stock rising over 3,000% in the past year [2] - Taiwan Semiconductor Manufacturing, while not directly involved in quantum computing, has benefited from AI chip demand, resulting in a 45% stock price increase over the past year [3] Company Analysis - Rigetti Computing is a pioneer in developing quantum computing chips and offers a comprehensive business model that includes hardware, software, and cloud services [6] - The company has launched its Cepheus-1-36Q quantum computer, which is the largest in the world and has improved error rates significantly [7] - Despite Rigetti's momentum, analysts project a median price target of $20 per share, indicating a potential 50% downside from its current price of about $40 [9] Market Comparison - Taiwan Semiconductor's stock has a median price target of $354 per share, suggesting a 23% upside from its current price of approximately $289, with no analysts predicting a lower target [9] - The market shows a clear preference for Taiwan Semiconductor over Rigetti Computing, reflecting differing investor sentiment towards the two companies [8]