Rigetti Computing (NASDAQ:RGTI), a company specializing in the progress of quantum computers, has received a reiterated “buy” rating from Benchmark, according to a report released on Thursday. The firm’s report maintains a $14.00 price target on Rigetti Computing stock, indicating confidence in the company’s future performance.This endorsement arrives amidst other recent analyst activity, presenting a generally positive outlook for the quantum computing firm.The Benchmark rating underscores the continued interest and investment in the rapidly evolving quantum computing sector.

Rigetti Computing, wich focuses on developing superconducting quantum processors and offering quantum computing as a service, is strategically positioned to potentially capitalize on the increasing demand for advanced computing solutions. The company’s approach to quantum computing,providing cloud-based access to its quantum processing units,aims to make this technology more accessible to a wider range of organizations.

Analyst Ratings Overview

In addition to Benchmark’s reaffirmed “buy” rating, several other analysts have recently shared their perspectives on Rigetti Computing. Needham & Company LLC also reaffirmed a “buy” rating on Thursday, setting a price objective of $17.00 for the company’s shares. This target suggests a important potential upside from the current trading price.

B. Riley adopted an even more bullish stance, increasing their price objective on Rigetti Computing from $8.50 to $15.00 in a report issued on Friday, February 14th, while maintaining a “buy” rating. Further supporting the positive sentiment, Craig Hallum initiated coverage on Rigetti Computing on Friday, December 20th, assigning a “buy” rating and a $12.00 price objective.

These ratings collectively suggest a consensus among analysts that Rigetti Computing possesses strong potential for growth and value creation within the quantum computing arena.While the varying price targets reflect different perspectives on the company’s near-term and long-term prospects, the overall “buy” sentiment indicates a general agreement on the company’s essential strength. Investors often look to analyst ratings as indicators of potential stock performance, though these ratings should be considered alongside other factors.

Stock Performance and Financial Metrics

On Thursday, shares of RGTI opened at $9.35. The stock’s fifty-day moving average is $11.94, while its two-hundred-day moving average is $5.88. Rigetti Computing has experienced significant price volatility over the past year, with a 12-month low of $0.66 and a 12-month high of $21.42.

The company currently has a market capitalization of $1.80 billion, a price-to-earnings ratio of -24.60, and a beta of 1.36.Its swift ratio and current ratio both stand at 4.84, indicating strong short-term liquidity. The debt-to-equity ratio is relatively low at 0.02.

Rigetti Computing reported its latest quarterly earnings results on Wednesday, March 5th, announcing an EPS of ($0.08) for the quarter, which met consensus estimates. The company’s revenue for the quarter was $2.27 million, slightly below analyst estimates of $2.40 million. During the same quarter in the prior year, Rigetti Computing posted ($0.04) EPS. Analysts anticipate that Rigetti Computing will post -0.34 EPS for the current fiscal year.

The company’s negative net margin of 509.58% and negative return on equity of 51.56% highlight the challenges inherent in the capital-intensive quantum computing industry. These figures suggest that Rigetti Computing is still in a growth phase, investing heavily in research and development to advance its technology and expand its market presence. Such investments are typical for companies in emerging technology sectors, as they prioritize innovation and long-term growth over immediate profitability.

Insider Trading Activity

Recent activity involving company insiders has also drawn attention.Director Michael S. Clifton sold 125,000 shares of Rigetti computing stock on Monday, December 9th, in a transaction valued at $628,750.00. The shares were sold at an average price of $5.03.

Following the completion of the sale, Clifton directly owns 1,063,864 shares of the company’s stock, valued at $5,351,235.92.This represents a 10.51 % decrease in their position. The sale was disclosed in a document filed with the securities & Exchange Commission.

It’s significant to note that insider selling doesn’t necessarily indicate a negative outlook for the company. insiders may sell shares for a variety of reasons, including personal financial planning or diversification of their investment portfolio. However, such transactions are closely scrutinized by investors seeking to gauge the sentiment of those with intimate knowledge of the company’s operations.

Institutional Investment

Hedge funds and institutional investors have also been actively trading Rigetti Computing shares. Silverleafe Capital Partners LLC established a new stake in Rigetti Computing during the 4th quarter, valued at $554,000.

State Street Corp increased its holdings in Rigetti Computing by 12.9% during the 3rd quarter, bringing its total ownership to 2,715,223 shares, worth $2,126,000. Charles Schwab Investment Management Inc. also lifted its holdings by 14.4% during the 3rd quarter, now owning 1,149,934 shares valued at $901,000. Geode Capital Management LLC increased its position by 20.6% during the 3rd quarter, holding 3,621,829 shares worth $2,837,000. Veracity Capital LLC initiated a new position in Rigetti Computing during the 4th quarter, valued at approximately $410,000.

Currently, institutional investors own 35.38% of Rigetti Computing’s stock. the increased activity from institutional investors suggests growing confidence in the company’s long-term potential and its ability to capitalize on the expanding quantum computing market. Institutional investment is often seen as a sign of stability and potential for future growth.

Company Overview

Rigetti Computing, inc. is focused on building quantum computers and superconducting quantum processors. The company provides cloud-based access to its quantum processing units, including the 9-qubit chip and Ankaa-2 system under the Novera brand name. It offers quantum computing as a service, catering to organizations seeking to leverage the power of quantum computing for various applications.