Quantum computing is becoming one of the hottest areas in tech as companies race to build faster and more powerful computing systems. Investor interest in the sector jumped again after reports that the Trump administration plans to provide $2 billion in funding to several U.S. quantum computing companies under the CHIPS and Science Act. Among the companies expected to benefit from the initiative are D-Wave Quantum (QBTS) and Rigetti Computing (RGTI), with both set to receive up to $100 million in funding.
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QBTX: an alternative to margin or options on QBTSUsing TipRanks’ Stock Comparison Tool, D-Wave currently appears to offer the stronger Wall Street outlook. QBTS carries a Strong Buy rating and offers about 43% upside potential, while RGTI has a Moderate Buy rating with roughly 36% upside based on analyst price targets.
D-Wave Quantum (QBTS)
D-Wave Quantum, the quantum computing company focused on annealing systems, has gained about 35% over the past year. The company is expected to receive $100 million in funding under the Trump administration’s new quantum computing initiative announced on May 21.
Earlier this month, D-Wave reported mixed first-quarter results. Revenue fell 81% year-over-year to $2.9 million, but bookings surged nearly 2,000% to a record $33.4 million. The company also announced a $20 million system sale to Florida Atlantic University and a $10 million agreement with a Fortune 100 company.
Following the earnings report, Rosenblatt analyst John McPeake reiterated a Buy rating and kept a $43 price target on QBTS stock. He pointed to rising demand from research groups, AI workloads, and blockchain-related applications. Meanwhile, top Craig-Hallum analyst Richard Shannon also remained bullish on the stock, highlighting D-Wave’s strong balance sheet and growing commercial traction.
Currently, QBTS carries a Strong Buy consensus rating from analysts. The average QBTS stock price target is $36.83, implying about 43% upside from current levels.
Rigetti Computing (RGTI)
Rigetti Computing, the superconducting quantum computing company, has gained about 59% over the past year. Similar to D-Wave, the company is also expected to receive up to $100 million in funding under the Trump administration’s broader quantum computing push. In a new report, Craig-Hallum kept a bullish view on RGTI, saying the new government funding helps reduce financial risk for the company.
Rigetti recently reported Q1 revenue of $4.4 million, up about 200% year-over-year and ahead of Wall Street estimates. One of the biggest highlights from the quarter was the launch of the company’s 108-qubit Cepheus-1 system.
After the earnings release, Rosenblatt analyst John McPeake reiterated a Buy rating and maintained a $40 price target on RGTI stock. He said Rigetti continues to make progress in improving its quantum systems and highlighted the company’s long-term roadmap toward larger-scale quantum machines.
On Wall Street, RGTI currently carries a Moderate Buy consensus rating. The average RGTI stock price target is $30.00, suggesting about 36% upside potential.
QBTS or RGTI: Which Quantum Stock Looks Better?
Both D-Wave and Rigetti could benefit from the Trump administration’s major funding push into quantum computing. However, D-Wave currently appears to have the stronger Wall Street outlook, backed by its Strong Buy rating, higher analyst upside potential, and growing commercial demand.