Rigetti Computing (RGTI) has come into focus lately as two key corporate insiders sold shares on November 20, a day when the stock initially surged 5.6% intraday but ended down 10.5%, following a broader decline in technology stocks. These were the first significant insider sales in the past three months.
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Chief Financial Officer Jeffrey Bertelsen and Chief Technology Officer David Rivas sold a combined total of 45,637 Rigetti shares, raising questions about the company’s growth prospects.
Insider share sales usually indicate caution about a company’s future, but can also happen for personal reasons. Hence, it is important to watch these trades for clues on the company’s growth expectations.
RGTI Stock Price Movement
Rigetti’s stock has surged 54.6% year-to-date and an impressive 757% over the past year, driven by new commercial deals and rising investor confidence in its quantum computing technology.
Rigetti uses superconducting qubits that require extremely low temperatures to maintain quantum states. This sets it apart from rival IonQ’s (IONQ) trapped-ion technology and D-Wave’s (QBTS) quantum annealing approach.
A Closer Look at Rigetti’s Insider Transactions
According to the Form 4 filed with the SEC on November 21, Bertelsen sold 3,702 RGTI shares and Rivas sold 41,935 shares, amounting to a total of $1.20 million. Shares were sold in multiple tranches at weighted average prices ranging between $26.01 and $26.3528 apiece. Despite these sales, Bertelsen still holds roughly $4.24 million worth of Rigetti stock, and Rivas holds $16.24 million of RGTI shares.
RGTI stock currently has a Negative Insider Confidence Signal on TipRanks, based on Informative Sell transactions worth $1.2 million, undertaken in the last three months.
Is RGTI Stock a Good Buy?
Analysts remain divided about Rigetti Computing’s long-term outlook. On TipRanks, RGTI stock has a Moderate Buy consensus rating based on five Buys and two Hold ratings. The average Rigetti Computing price target of $40.60 implies 72.1% upside potential from current levels.
