Rigetti Computing (RGTI) surged more than 22% on Wednesday morning after disclosing a major technical milestone. Its new 36-qubit modular quantum system achieved a 99.5% median two-qubit gate fidelity. This represents a twofold improvement in error rate compared to its previous best performance on the 84-qubit Ankaa-3 chip.
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Alongside Rigetti, other quantum computing stocks also saw modest gains. IonQ (IONQ), Quantum Computing (QUBT), D-Wave Quantum (QBTS), and Arqit Quantum (ARQQ) were up 1.7%, 3.1%, 0.9%, and 3.4%, respectively. Rigetti’s breakthrough has raised optimism across the sector.
Further, investors see this progress as a sign that RGTI is closing the gap with larger quantum players like IBM (IBM) and Alphabet’s (GOOGL) Google.
RGTI’s 36-Qubit System Paves Way for 100-Qubit Quantum Future
It must be noted that the 36-qubit system is built from four 9-qubit chiplets, using Rigetti’s proprietary modular chip technology. Looking ahead, Rigetti plans to launch its new 36-qubit platform on August 15.
Further, this progress is a key step toward the company’s goal of delivering a 100-qubit system built on this same chiplet architecture. RGTI remains on schedule to release this larger system, which also targets 99.5% fidelity, by the end of 2025.
Overall, with $350 million in new funding and no debt, Rigetti is in a strong financial position to speed up development and expand its quantum technology.
Is RGTI a Good Stock to Buy?
Turning to Wall Street, RGTI stock has a Strong Buy consensus rating based on seven Buys assigned in the last three months. The average Rigetti share price target is $15, which implies a downside of 5.24% from current levels.
