Rigetti Computing ( (RGTI) ) has fallen by -12.97%. Read on to learn why.
Rigetti Computing’s shares slid 12.97% over the past week, a pullback that comes after a period of sharp gains and heightened volatility around the quantum computing specialist. The stock has been trading near its 52‑week highs, and some investors appear to be locking in profits despite a broadly bullish backdrop: multiple Wall Street firms, including Rosenblatt Securities and Alliance Global Partners, have reiterated Buy ratings with aggressive targets well above current levels, and the overall analyst consensus sits at Moderate Buy with substantial implied upside.
Fundamentally, the recent weakness contrasts with clear signs of operational progress. Rigetti’s latest quarter showed revenue jumping nearly 200% year over year to $4.4 million, powered by strong demand for its new 108‑qubit Cepheus‑1 system, which is now available not only on Rigetti’s own cloud but also through major platforms like AWS Braket and Microsoft Azure Quantum. The company has also detailed improving chip performance, reporting around 99.1% two‑qubit gate fidelity and aiming for 99.5% later this year on the path to 99.9%, while sitting on roughly $569 million in cash and no debt — a sizable war chest for further R&D and commercialization.
The market’s hesitation reflects the gap between Rigetti’s fast‑improving technology and its still‑small, uneven revenue base. Operating costs remain high, losses are significant, and sales can be lumpy as they depend on large system orders and project milestones, leaving the stock firmly in “speculative growth” territory rather than a mature earnings story. With the broader quantum computing sector expanding rapidly and Rigetti viewed as a credible player but not yet fully proven, traders are reassessing risk after a strong run, driving the 12.97% drop even as many analysts argue that successful execution on its roadmap could unlock meaningful upside from here.