Is Rigetti Computing Stock (RGTI) a Buy Before Q2 Earnings?
Elevate Your Investing Strategy:
Take advantage of TipRanks Premium at 50% off! Unlock powerful investing tools, advanced data, and expert analyst insights to help you invest with confidence.
What to Expect from RGTI's Q2 Earnings
Wall Street analysts expect Rigetti to report a narrower loss per share of $0.05 in Q2 2025, compared to a loss of $0.07 in the prior-year quarter. However, the company's revenue for Q2 2025 is expected to decline by about 39% year-over-year to $1.87 million.
It's worth noting that Rigetti has missed earnings estimates six times in the past nine quarters.
RGTI Is Not Yet Making Real Profits
Rigetti is making progress, but it's still not profitable. The company reported net income of $42.6 million in Q1 2025, but this was mostly due to a $62.1 million non-cash gain, not from its core business. Meanwhile, revenue fell 52% year-over-year to $1.5 million.
Even with these challenges, Rigetti's cash position remains strong. It ended the first quarter with $209.1 million in cash and investments, giving it a solid cushion to keep operating.
The company is also cutting costs and staying focused on its tech goals. It plans to launch a 36-qubit system by mid-2025 and aims to go beyond 100 qubits by the end of the year using chiplet architecture.
Analysts Remain Upbeat About the Stock
Heading into the Q2 print, Needham Top analyst N. Quinn Bolton reiterated a Buy rating on RGTI stock and raised the price target to $18 from $15, citing growing momentum in quantum tech. He believes new U.S. policy efforts, like the Quantum Leadership Act of 2025, could drive government funding higher and benefit companies like Rigetti.
Also, B. Riley analyst Craig Ellis recently raised his price target on Rigetti Computing to $19 from $15 and maintained a Buy rating. The 5-star analyst expects Q2 revenue and EPS to come in at $1.9 million and ($0.06), roughly in line with consensus.
Is RGTI Stock a Buy, Sell, or Hold?
Turning to Wall Street, analysts have a Strong Buy consensus rating on RGTI stock based on seven unanimous Buys assigned in the past three months, as indicated by the graphic below. The average RGTI stock price target is $16.80, implying upside potential of 7.28%.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Yahoo
an hour ago
- Yahoo
Rigetti Computing (RGTI) Drops on Profit-Taking
We recently published . Rigetti Computing Inc. (NASDAQ:RGTI) is one of Tuesday's worst performers. Rigetti Computing dropped for a third day on Tuesday, shedding 8.84 percent to close at $15.16 apiece as investors resorted to profit-taking following a recent surge in share prices. Last week saw the company jump to the $18 level following earnings and corporate announcements. Since then, share prices have pulled back to the $15 level. Source: Pixabay Rigetti Computing Inc. (NASDAQ:RGTI) announced the official launch of its multi-chip quantum computer, Cepheus-1-36Q, bearing a 2x reduction in two-qubit gate error versus its previous Ankaa-3 system with a median two-qubit gate fidelity of 99.5 percent. 'Just 6 months after our record performance with Ankaa-3, we've once again halved our error rates with Cepheus-1-36Q. We believe quadrupling our chiplet count and significantly decreasing error rates is the clear path towards quantum advantage and fault tolerance. We intend to continue this momentum with our 100+ qubit system planned for the end of the year,' said Rigetti Computing Inc. (NASDAQ:RGTI) CEO Subodh Kulkarni. 'It's our view that superconducting qubits are the leading modality for quantum computers due to their ability to scale, and their ability to achieve gate speeds more than 1,000 times faster than other modalities like ion traps and pure atoms. Rigetti's superconducting qubits leverage technologies, like chiplets, that have been maturing in the semiconductor industry for decades, enabling Rigetti to use well-established methods to scale to higher performance and qubit counts,' he added. While we acknowledge the potential of RGTI as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an extremely cheap AI stock that is also a major beneficiary of Trump tariffs and onshoring, see our free report on the . Sign in to access your portfolio
Yahoo
19 hours ago
- Yahoo
Should You Buy the Post-Earnings Dip in Rigetti Computing Stock?
Rigetti Computing (RGTI) says its net loss more than tripled on a year-over-year basis to roughly $40 million in the second quarter. Shares of the quantum-tech specialist tanked nearly 8% on Friday also because its revenue came in down over 40% on a year-over-year basis as well. More News from Barchart Trade the Warren Buffett Rally in UnitedHealth Stock With This High-Reward, Low-Risk Options Strategy Lyft Generates Huge FCF Margins - LYFT Stock Is Too Cheap Powell, Trump Talks and Other Can't Miss Items this Week Our exclusive Barchart Brief newsletter is your FREE midday guide to what's moving stocks, sectors, and investor sentiment - delivered right when you need the info most. Subscribe today! Rigetti Computing stock has been a lucrative investment over the past four months. Despite the recent plunge, it's up more than 100% versus its April low. Should You Avoid Buying RGTI Stock on the Post-Earnings Decline? According to Subodh Kulkarni, the chief executive of Rigetti Computing, quantum technology could evolve into a trillion-dollar-per-year market in the long term. In the next four to five years, however, 'our view is still very much in the R&D stage,' he told Barron's in a recent interview. Kulkarni's remarks make RGTI shares materially less attractive to own especially when they're up well over 150% versus their year-to-date low despite revenue decelerating at an alarming rate. Rigetti Computing Shares Are Egregiously Overvalued Rigetti Computing raised some $350 million via a stock offering in its second financial quarter, effectively wiping its balance sheet of all debt. But it's hardly a positive for the Nasdaq-listed firm since the offering nearly doubled the number of its shares outstanding, raising dilution risks. More importantly, Rigetti Computing is trading at a price-sales (P/S) ratio of more than 480x at writing, which indicates gross overvaluation. Investors should also note that RGTI has not yet achieved quantum supremacy, which theoretically makes peer D-Wave (QBTS) a better investment than Rigetti Computing stock for exposure to quantum technology. How Wall Street Recommends Playing Rigetti Computing Investors should also note that Wall Street no longer sees meaningful further upside in RGTI shares from current levels. While the consensus rating on Rigetti Computing stock remains at 'Strong Buy,' the mean target of roughly $17.80 indicates potential for only about 6.7% upside. On the date of publication, Wajeeh Khan did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. This article was originally published on Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
20 hours ago
- Yahoo
What Is One of the Best Quantum Computing Stocks to Buy Now?
Key Points Quantum computing has the potential to be a truly transformative technology. But it could be years, if not more, before it can be practically implemented at scale. Companies like IonQ and Rigetti receive all the attention, but they face a long road ahead if the technology benefits aren't right around the corner. 10 stocks we like better than Alphabet › Quantum computing is one of the most hyped technologies on the market, and for good reason. The technology is like something out of a sci-fi novel and could massively advance computing in ways we don't even quite understand yet. It's a technology with true revolutionary power. Investors interested in this sector may be getting ahead of themselves. While some are betting the widespread commercialization of the technology is just a few years away, there's good reason to think it could be much longer before that happens. Alphabet has been working on quantum for years Before quantum computing grabbed headlines, Alphabet (NASDAQ: GOOG) (NASDAQ: GOOGL) was already investing heavily in the field. It has poured a sizable portion of its massive R&D budget and top-tier talent into the effort, leading to milestones like reaching "quantum supremacy" -- beating a classical computer in a highly limited task -- in 2019. This is exactly where Alphabet excels -- transforming revolutionary science into revolutionary technology. Alphabet has resources few can match Only Microsoft and, to a lesser extent, IBM, can match Alphabet's R&D firepower, both from a financial and personnel perspective. At any point, the company could direct the full weight of its R&D budget toward quantum -- tens of billions of dollars. And when the time comes to commercialize the technology, Alphabet can quickly and readily deploy it through its existing cloud infrastructure. Alphabet gives you much of the upside with almost none of the risks If the technology takes five, 10, or more years to reach its potential, Alphabet's steady cash flows mean it never has to worry about where it will find its next six months of funding. That's certainly not true for IonQ, Rigetti, and companies like them. And in the meantime, with Alphabet, you get a mature, highly successful tech company at the forefront of artificial intelligence and a stock that trades at a discount to many of its big tech peers. Should you invest $1,000 in Alphabet right now? Before you buy stock in Alphabet, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the for investors to buy now… and Alphabet wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $668,155!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $1,106,071!* Now, it's worth noting Stock Advisor's total average return is 1,070% — a market-crushing outperformance compared to 184% for the S&P 500. Don't miss out on the latest top 10 list, available when you join Stock Advisor. See the 10 stocks » *Stock Advisor returns as of August 18, 2025 Johnny Rice has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Alphabet, International Business Machines, and Microsoft. The Motley Fool recommends the following options: long January 2026 $395 calls on Microsoft and short January 2026 $405 calls on Microsoft. The Motley Fool has a disclosure policy. What Is One of the Best Quantum Computing Stocks to Buy Now? was originally published by The Motley Fool
