Rigetti Computing, Inc. (RGTI) is at the forefront of developing advanced quantum computers, aiming to tackle complex problems at speeds traditional computers can’t match.
Through its Rigetti Quantum Cloud Services platform, the company targets enterprise, government, and research clients.
While quantum computing holds transformative potential, the technology remains in its infancy, with limited adoption.
Rigetti Computing Video Overview
Rigetti Computing – A Leader in Superconducting Quantum Protocols
Rigetti is a prominent player in the quantum computing space, focusing on superconducting protocols.
This approach delivers impressive speed but is hindered by higher error rates compared to alternatives like ion-trapping.
As quantum computing matures, these challenges are expected to be addressed.
The global quantum computing market is projected to grow from $1.1 billion in 2022 to $7.6 billion by 2027, with initial demand driven by government initiatives and commercial applications following later.
Rigetti is well-positioned to benefit from this growth, especially as governments increase funding for quantum research programs.
Over time, the company plans to expand its reach into industries such as finance, pharmaceuticals, energy, and logistics.
Rigetti’s Financial Position and Challenges
Despite its potential, Rigetti faces significant challenges, including:
– Ongoing financial losses.
– Limited operating history.
– Intense competition.
– Dependence on additional funding to fuel growth.
In the third quarter of 2024, Rigetti reported $2.4 million in revenue but incurred $18.6 million in expenses, resulting in a net loss of $14.8 million.
This high-spending trend is typical for companies in emerging industries, where heavy investment in research and development is crucial.
Future Plans and Industry Outlook
Rigetti has ambitious plans to roll out new quantum computing systems in 2025 and beyond.
However, some industry experts, such as Nvidia CEO Jensen Huang, predict that quantum computing may take 15–30 years to become widely practical.
This long timeline underscores the speculative nature of investments in this space.
While the stock experienced a massive 750% return in 2024, recent market reactions to Huang’s recent comments caused its price to plummet on the 8th January 2025.
Rigetti’s Sudden Rebound as Trump Backs Quantum Computing
On Tuesday 21st January 2025, quantum stocks surged after President Trump emphasized the importance of maintaining U.S. technological leadership in cutting-edge industries like quantum computing and AI.
Rigetti’s stock jumped 42% in response to the announcement, reflecting renewed investor optimism for the U.S.-based tech firms.
Government support can significantly impact funding and development in quantum technologies, making this a promising sign for companies like Rigetti.
This rally highlights the growing recognition of quantum computing’s strategic importance and its potential role in shaping the future of technology.
However, investors should remain cautious, as this sector’s speculative nature demands a long-term perspective.
Technical Analysis
Rigetti’s stock carries a beta value of 2.14, signaling significant price volatility.
With its small market capitalisation, negative earnings per share (EPS), and the quantum computing industry still in its early stages, Rigetti is better suited for investors with high-risk tolerance.
From a technical perspective on the daily chart, the stock price recently dropped sharply due to Huang’s speech and sharply rebounded when President Trump announced his support in Quantum computing.
This also reflects the stock’s high volatility.
Technical signals are currently bullish:
- The future Ichimoku cloud remains bullish.
- Candlesticks are still above the cloud.
For those considering adding the Rigetti stock to their portfolio, here are some suggested Buy Limit entry points:
- $13.80
- $11.97
- $9.73
Investors may consider these levels for potential entry points, depending on their risk tolerance and investment goals. Remember: Investing is personal, and what is right for me might not be right for you. Always do your own due diligence. You should ONLY invest based on your own risk tolerance and your timeframe for reaching your portfolio goals.
Final Thoughts On Rigetti Computing Stock
Investing in Rigetti Computing offers the potential for significant rewards but comes with considerable risks.
The recent rally in quantum stocks following President Trump’s comments underscores the importance of government backing in propelling the industry forward.
For investors willing to endure the volatility and long-term uncertainty of quantum computing, Rigetti presents an intriguing, albeit speculative, opportunity.
Always assess your risk tolerance and conduct thorough research before diving into this emerging sector.
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If you enjoyed my blog post about Rigetti Computing Stock, you’ll love my post on ‘Upstart’s Stock Price Analysis.’
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Grace provides Premium Coaching Services for Invest Diva. This includes delivering live weekly coaching sessions and analysis for members of the Invest Diva Premium Investing Group. Grace is a $100K Diva Award Winner | Entrepreneur, Investor & Content Creator. Starting from only $500 she built a six-figure portfolio with zero prior knowledge and experience using education from Invest Divas Triple Compounding Course.
