In the rapidly advancing world of quantum computing, Rigetti Computing (RGTI), a constituent of the Russell 2000 index, is attracting renewed investor interest thanks to its cutting-edge technology, strategic partnerships, and bullish analyst coverage. With shares trading well below their peak and a projected upside of over 60%, RGTI could be poised for a breakout as the quantum revolution gains traction.
For context, the Russell 2000 Index (IWM) tracks 2,000 U.S. small-cap stocks, serving as a key benchmark for these companies.
What does Rigetti Computing do?
Rigetti Computing designs and builds superconducting quantum processors and offers access to them through its cloud platform, Forest. As a full-stack provider, Rigetti develops the quantum hardware and the software tools needed to program and operate these systems. Their technology is used in fields like finance, pharmaceuticals, and defense.
Wall Street Stays Positive on RGTI Stock
Wall Street analysts have expressed bullish sentiments toward Rigetti Computing, citing several factors that could drive the stock’s growth. The company gained strong analysts’ support after it secured a $35 million strategic investment from tech giant Quanta Computer. The deal, which includes Quanta purchasing RGTI shares at a premium price of $11.59 per share pending regulatory approval, reflects a powerful endorsement of Rigetti’s quantum roadmap. Together, the companies plan to inject over $100 million into accelerating the development and commercialization of superconducting quantum computing over the next five years.
Rigetti believes this partnership will enable both companies to harness their unique strengths to advance superconducting quantum computing technology. Emphasizing the potential in this fast-evolving field, Rigetti noted that the quantum computing market is poised for significant expansion, with annual revenues projected to climb between $1 billion and $2 billion by 2030.
Additionally, Rigetti was recently selected for the U.S. Defense Advanced Research Projects Agency’s Quantum Benchmarking Initiative (QBI), aiming to advance practical quantum computing capabilities by 2033. RGTI stock has surged over 10% since this announcement.
Just recently, Alliance Global Partners’ Brian Kinstlinger reiterated his Buy rating on RGTI stock, predicting an upside of over 75%. Overall, TipRanks’ Bulls Say, Bears Say tool captures key analyst opinions on RGTI stock.
Is Rigetti a good stock to buy?
According to TipRanks, RGTI stock has received a Strong Buy consensus rating, with six Buys assigned in the last three months. The average price target for Rigetti Computing is $14.80, suggesting a potential upside of 62% from the current level.
