Track market-moving stories before they get noisy

Key Takeaways Rigetti is expanding commercial and government deployments as demand for direct quantum hardware access grows.RGTI's 108-qubit Cepheus platform delivers about 99.1% two-qubit fidelity and gate speeds near 60 nanoseconds.Rigetti targets about 1,000 qubits, 99.9% two-qubit fidelity and sub-40-nanosecond gates within three years. Rigetti Computing (RGTI - Free Report) is expanding its commercial and government presence as it advances its superconducting quantum computing roadmap toward quantum advantage. The company recently deepened its partnership with Hewlett Packard Enterprise and the Pittsburgh Supercomputing Center by supplying a full 9-qubit Novera system for the NSF-funded TangleLab testbed, where researchers will develop hybrid quantum-classical HPC workloads. Management also said that on-premises deployments remain on track, including the 108-qubit C-DAC system in India, while demand is increasing from universities, national laboratories and commercial organizations seeking direct access to quantum hardware for research and experimentation.

Rigetti also highlighted continued technical progress on its 108-qubit Cepheus platform, which is delivering roughly 99.9% median single-qubit gate fidelity, 99.1% two-qubit gate fidelity and gate speeds of about 60 nanoseconds. The company is working to improve coherence times through chip design and materials innovations while targeting systems with around 1,000 qubits, 99.9% two-qubit fidelity and sub-40-nanosecond gate speeds over the next three years. Meanwhile, a proposed U.S. Department of Commerce funding package of up to $100 million and planned investments in the United Kingdom are expected to strengthen Rigetti's manufacturing, infrastructure and chiplet-based development efforts as global competition in quantum computing accelerates.

Peers UpdatesIonQ's (IONQ - Free Report) strengthened its full-stack quantum computing platform by completing the SkyWater and Nexus acquisitions, expanding its merchant supplier capabilities across the United States and allied markets. The company also advanced its technology roadmap by moving closer to demonstrating a 256-qubit quantum computer and progressing its quantum error-correction research, positioning it to capitalize on long-term growth opportunities in the quantum computing market.

D-Wave Quantum (QBTS - Free Report) posted $3.1 million in revenues in the second quarter of 2026, essentially flat year over year. The company recognized revenues from approximately 100 customers, with commercial enterprises accounting for roughly 62.4% of revenues, up from 45.1% a year earlier.

D-Wave’s QCaaS subscription revenues jumped 50% year over year to $1.9 million, while professional services revenues grew more than 18% to roughly $900,000. Systems and other revenues were $300,000, largely from installation and site preparation related to the $20 million Florida Atlantic University sale.

Rigetti’s Price Performance, Valuation and EstimatesShares of RGTI have lost 29.3% in the year-to-date period compared with the industry’s decline of 0.9%.

Image Source: Zacks Investment Research

From a valuation standpoint, Rigetti trades at a price-to-book ratio of 9.72, above the industry average. RGTI carries a Value Score of F.

Image Source: Zacks Investment Research

The Zacks Consensus Estimate for Rigetti’s 2026 earnings implies a significant 71.9% improvement from the year-ago period.

Image Source: Zacks Investment Research

The company currently has a Zacks Rank #5 (Strong Sell).

You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Key Takeaways Rigetti ended Q2 2026 with $541.3 million in cash and investments and no debt.RGTI may receive up to $100 million in CHIPS Act funding to accelerate quantum computing research.Rigetti is prioritizing R&D to advance its roadmap toward 1,000-qubit systems and quantum advantage. Rigetti Computing’s (RGTI - Free Report) strong cash position has emerged as a key competitive advantage as the company invests aggressively in scaling its quantum computing platform. The company exited second-quarter 2026 with $541.3 million in cash, cash equivalents and available-for-sale investments while carrying no debt, giving it substantial financial flexibility to pursue long-cycle technology investments.

Management believes this liquidity provides sufficient runway to execute critical milestones, including advancing Cepheus-class systems, expanding Fab-1 manufacturing capabilities, increasing dilution refrigeration capacity and supporting planned investments in the U.K. The balance sheet strength also reduces near-term financing pressure at a stage when commercial revenue remains uneven and largely dependent on the timing of system deliveries and government-backed contracts.

Rigetti's capital cushion could strengthen further through its proposed up to $100 million funding agreement with the U.S. Department of Commerce under the CHIPS Act, although the arrangement remains subject to definitive approvals. Management said that the prospective funding would accelerate superconducting quantum computing research across chiplet scaling, cryogenics, advanced packaging and control electronics while remaining aligned with its disciplined capital allocation strategy.

Rather than prioritizing short-term revenue optimization, the company continues directing most of its spending toward core research and development programs that support its roadmap toward 1,000-qubit systems and quantum advantage. This disciplined approach, backed by a well-funded balance sheet, positions Rigetti to sustain technology investments while navigating the inherently volatile early-stage quantum computing market.

Peers UpdatesD-Wave Quantum (QBTS - Free Report) balance sheet remains well-capitalized despite acquisition-related cash outflows. The company ended second-quarter 2026 with $546.2 million in cash and marketable investment securities, with more than 90% of the year-over-year decline tied to its January acquisition of Quantum Circuits rather than underlying operations. Management believes this liquidity provides sufficient financial flexibility to support product development, commercial expansion and execution of its dual-platform quantum computing roadmap as bookings and remaining performance obligations continue to strengthen.

IonQ's (IONQ - Free Report) industry-leading liquidity position continues to reinforce its aggressive expansion strategy across the quantum computing ecosystem. The company closed second-quarter 2026 with nearly $3 billion in cash, cash equivalents and investments, or roughly $2 billion on a pro forma basis after accounting for the completed SkyWater acquisition. Management expects this substantial cash reserve to comfortably fund near-term working capital and capital expenditure needs while supporting its vertically integrated roadmap spanning quantum computing, networking, sensing and semiconductor manufacturing.

Rigetti’s Price Performance, Valuation and EstimatesShares of RGTI have lost 23.6% in the year-to-date period compared with the industry’s decline of 4.5%.

Image Source: Zacks Investment Research

From a valuation standpoint, Rigetti trades at a price-to-book ratio of 10.52, above the industry average. RGTI carries a Value Score of F.

Image Source: Zacks Investment Research

The Zacks Consensus Estimate for Rigetti’s 2026 earnings implies a significant 70.3% improvement from the year-ago period.

Image Source: Zacks Investment Research

The company currently has a Zacks Rank #5 (Strong Sell).

You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here. 

BERKELEY, Calif., Aug. 19, 2026 (GLOBE NEWSWIRE) -- Rigetti Computing, Inc. (Nasdaq: RGTI) ("Rigetti"), a pioneer in full-stack quantum computing, today announced a new operating structure designed to scale deployment of on-premises quantum systems, strengthen end-to-end operational execution, and further focus its engineering resources on quantum processor development.

Rigetti is establishing a dedicated Systems Delivery organization and creating the role of Chief Operating Officer to lead manufacturing operations, systems delivery, commercial functions, and customer-facing engineering. Quantum processor architecture, chip development, and hardware engineering will be consolidated under the Chief Technology Officer.

The Company has seen increased demand for customer deployments of on-premises systems, ranging from 9-qubit Novera systems to large-scale 108-qubit Cepheus-class systems. Historically, installation and customer support activities have been supported within the engineering organization. The new structure creates dedicated leadership and resources for system deployment and customer success, while enabling engineering teams to concentrate on advancing processor performance and the Company's published technology roadmap, including its target of 99.5% median two-qubit gate fidelity on Cepheus-1-108Q.

David Rivas, who has served as Rigetti’s Chief Technology Officer since February 2023, has been appointed Chief Operating Officer. In this newly created role, Rivas will oversee fabrication operations, systems delivery, software engineering, applications, business development, government programs, supply chain, and facilities.

Andrew Bestwick, Ph.D., currently Senior Vice President, Quantum Systems, has been appointed Chief Technology Officer. Dr. Bestwick has led the architecture of Rigetti's Cepheus-class multi-chip systems and will oversee quantum processor development, chip fabrication development, and hardware engineering. The technology organization will remain Rigetti’s largest engineering organization, underscoring the Company's continued focus on advancing processor performance and executing its technology roadmap.

Both executives report to Rigetti’s President and Chief Executive Officer Dr. Subodh Kulkarni. The appointments are effective August 18.

"Rigetti’s growing deployment activity makes this the right time to establish a dedicated organization focused on delivering and supporting systems for customers," said Dr. Kulkarni. "This structure gives our commercial and operational teams clear, end-to-end accountability for scaling system delivery, while giving our technology organization even greater focus on quantum processor innovation and performance. David brings deep experience building the operational capabilities that support our systems and customers, and Andrew brings exceptional technical leadership to our chiplet-based architecture. Together, we believe these appointments position Rigetti to execute across both customer deployments and our technology roadmap."

About David Rivas

David Rivas joined Rigetti in March 2019 as Senior Vice President of Systems and Services, where he oversaw the engineering and operations of Rigetti's Quantum Cloud Services platform, and was appointed Chief Technology Officer in February 2023. He previously held executive positions at Sun Microsystems, Nokia, Bolt Threads, and Stage 3 Systems, including leadership of field engineering and services organizations of product management, and core engineering organizations. He holds a B.S. in electrical engineering and an M.S. in electrical engineering from the University of California, San Diego.

About Andrew Bestwick

Andrew Bestwick, Ph.D., joined Rigetti in August 2015 and has held technical and leadership positions spanning chip fabrication, circuit design, cryogenic RF hardware engineering, and system architecture. He was appointed Senior Vice President, Quantum Systems in January 2024. He previously worked in management consulting at Bain & Company. He holds an A.B. in physics and mathematics from Harvard University and a Ph.D. in physics from Stanford University.

About Rigetti

Rigetti is a pioneer in full-stack quantum computing. Rigetti quantum computers are based on superconducting qubits, which are widely believed to be the leading qubit modality given their maturity, clear path to scaling, and fast gate speeds. Rigetti quantum computing systems achieve gate speeds of 50-70 nanoseconds, which is about 10,000 times faster than trapped-ion systems and 100 times faster than neutral-atom systems.

Rigetti sells on-premises 9-qubit to 108-qubit quantum computing systems, which support national laboratories and quantum computing centers. Rigetti’s Cepheus 36-qubit to 108-qubit systems are based on the Company’s proprietary chiplet-based technology and include the Company’s control electronics. Rigetti’s 9-qubit Novera QPU supports a broader R&D community with a high-performance, on-premises QPU designed to plug into a customer’s existing cryogenic and control systems.

The Company operates quantum computers over the cloud through its Rigetti Quantum Cloud Services (QCS) platform, enabling global enterprise, government, and research clients to pursue R&D. The Company’s proprietary quantum-classical infrastructure provides high-performance integration with public and private clouds for practical quantum computing.

Rigetti developed the industry’s first multi-chip quantum processor for scalable quantum computing systems. Leveraging this proprietary technology, Rigetti deployed the industry’s largest multi-chip quantum computer in 2026 with Cepheus-1-108Q, based on twelve 9-qubit chiplets tiled together. The Company designs and manufactures its chips in-house at Fab-1, the industry’s first dedicated and integrated quantum device manufacturing facility. Learn more at https://www.rigetti.com/.

Contacts

Rigetti Computing Investor Contact:
[email protected]

Rigetti Computing Media Contact:
[email protected]

Cautionary Language and Forward-Looking Statements

Certain statements in this communication may be considered “forward-looking statements” within the meaning of the federal securities laws, including statements with respect to the Company’s expectations with respect to its future success and performance, including the design of the Systems Delivery organization to scale deployment of on-premises quantum systems, strengthen end-to-end operational execution, and further focus its engineering resources on quantum processor development; the advancement of processor performance and the Company's published technology roadmap; the target of 99.5% median two-qubit gate fidelity on Cepheus-1-108Q; and the belief that these appointments position Rigetti to execute across both customer deployments and our technology roadmap. These forward-looking statements are based upon estimates and assumptions that, while considered reasonable by the Company and its management, are inherently uncertain. Factors that may cause actual results to differ materially from current expectations include, but are not limited to: the Company’s ability to achieve milestones, technological advancements, including with respect to its technology roadmap; Company’s ability to deliver products to customers in time or at all, including actions by customers, such as controls over their facilities and cancelling orders; the ability of the Company to obtain government contracts successfully and in a timely manner and the availability of government funding; the potential of quantum computing; the success of the Company’s partnerships and collaborations; the Company’s ability to accelerate its development of multiple generations of quantum processors; the outcome of any legal proceedings that may be instituted against the Company or others; the ability to maintain relationships with customers and suppliers and attract and retain management and key employees; costs related to operating as a public company; changes in applicable laws or regulations; the possibility that the Company may be adversely affected by other economic, business, or competitive factors; the Company’s estimates of expenses and profitability; the evolution of the markets in which the Company competes; the ability of the Company to implement its strategic initiatives and expansion plans; the expected use of proceeds from the Company’s past and future financings or other capital; the sufficiency of the Company’s cash resources; unfavorable conditions in the Company’s industry, the global economy or global supply chain, including rising inflation and interest rates, deteriorating international trade relations, political turmoil, natural catastrophes, warfare, and terrorist attacks; and other risks and uncertainties set forth in the section entitled “Risk Factors” and “Cautionary Note Regarding Forward-Looking Statements” in the Company’s Annual Report on Form 10-K for the year ended December 31, 2025 and Quarterly Report on Form 10-Q for the quarter ended June 30, 2026 and other documents filed by the Company from time to time with the Securities and Exchange Commission. These filings identify and address other important risks and uncertainties that could cause actual events and results to differ materially from those contained in the forward-looking statements. Forward-looking statements speak only as of the date they are made. Readers are cautioned not to put undue reliance on forward-looking statements, and the Company assumes no obligation and does not intend to update or revise these forward-looking statements other than as required by applicable law. The Company does not give any assurance that it will achieve its expectations.

Rigetti Computing (RGTI +1.47%) is valued at about $5.9 billion as of this writing. The revenue behind that price: $13.4 million over the past 12 months, alongside a net loss of about $239 million.

The gap tells you what buyers of the quantum computing specialist's stock are actually purchasing. It isn't today's business. Even at 30 times sales, a multiple reserved for the fastest-growing software companies, Rigetti's price implies about $200 million of annual revenue -- about 15 times what it booked over the past year.

So what has the company committed to, and when?

Image source: Motley Fool.

The disclosures and their dates
Rigetti's second-quarter report last week showed fast growth on a tiny base. Revenue nearly tripled year over year to $5.1 million (a base small enough that a single system sale can swing the rate), while the operating loss came in at $28.1 million.

The balance sheet is the sturdiest part of the story. Rigetti held $541 million in cash and investments at quarter's end, enough to fund years of losses at the current pace.

Today's Change

(

1.47

%) $

0.27

Current Price

$

18.69

The technology is making measurable progress. The company's flagship system, Cepheus-1-108Q, carries 108 qubits and currently runs at about 99.1% median two-qubit gate fidelity. Fidelity measures how often a quantum operation runs without error, and it is arguably the main thing standing between today's machines and commercially useful ones. Rigetti also holds a recently announced letter of intent with the U.S. Department of Commerce for up to $100 million in potential funding, which the company says could help it accelerate its superconducting quantum computing work.

A fidelity milestone, though, is an engineering achievement, and a letter of intent is potential funding. Neither puts commercial revenue anywhere near $200 million on a calendar.

Quantum computing could well produce that business eventually, and Rigetti's cash gives it years to try. But the company's own updates describe a research-stage operation on a research-stage timeline. What the $5.9 billion pays for comes after that, and none of the disclosures says when.

Daniel Sparks and his clients do not have positions in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.

Shares of Rigetti Computing (RGTI +0.86%) fell 22.6% last month, according to data provided by S&P Global Market Intelligence, as investors grew impatient with unprofitable companies.

Investors rotated out of many AI stocks as skepticism spread that all the money being spent in the tech sector will eventually pay off, and some of that skepticism seems to have spread to quantum computing stocks as well.

Here's what happened with Rigetti in July and why the stock will likely remain volatile.

Image source: Getty Images.

No profits and an expensive share price Technology investors scrutinized their investments last month, and many trimmed their positions as they worried that all the money companies are spending on artificial intelligence, data centers, and quantum computing will prove worthwhile.

For example, semiconductor stocks were especially shunned last month, with 20 leading semiconductor companies losing more than $1 trillion in cumulative market cap.

While Rigetti isn't an AI company, it is spending heavily to grow its business. The company's research and development costs were nearly $41 million in the first half of this year, contributing to an operating loss of $54 million.

Meanwhile, Rigetti's revenue was just $9.5 million in the first six months of 2026.

Rigetti's shares are also very expensive, with the company's stock having a price-to-sales (P/S) ratio of 444. That's far higher than the average P/S ratio of about 8 for the technology sector.

With shares trading at such a high premium and the company spending heavily without any profits, some Rigetti shareholders likely viewed the stock as too risky to hold onto.

Today's Change

(

0.86

%) $

0.16

Current Price

$

18.10

Rigetti regained some ground on soaring second-quarter revenue Rigetti's revenue spiked 185% in the second quarter (which ended June 30) to $5.14 million, which just outpaced Wall Street's consensus estimate of $5.09 million.

Investors were happy with the results, which were released on Aug. 6, and the stock is up about 4% since then.

The company also has $541.3 million in cash, cash equivalents, and investments, which goes a long way to Rigetti continuing to invest in its quantum computing technologies. What's more, Rigetti has no debt.

But none of the above erase the fact that Rigetti is still spending heavily, is unprofitable, and has a very pricey stock. This means that current shareholders will have to continue to ride out some intense volatility with Rigetti's stock, without any guarantees of eventual success.

Potential investors should proceed with caution and understand that they're paying a very high premium for a speculative stock.

Quantum Earnings Could Decide Whether the Sector’s Sell-Off Has Gone Too FarRigetti Computing NASDAQ: RGTI reported second-quarter 2026 revenue of approximately $5.1 million, up from $1.8 million a year earlier, as the quantum computing company recognized revenue from previously announced on-premises Novera quantum processing unit purchase orders.

Chief Executive Officer Subodh Kulkarni said the quarter underscored progress in the company’s Cepheus-class systems, prospective U.S. government funding and its expanded collaboration with Hewlett Packard Enterprise and the Pittsburgh Supercomputing Center.

Get Rigetti Computing alerts:

D-Wave’s AT&T Deal Shows Quantum Computing Is Moving Beyond Theory“Q2 was another important proof point in our strategy to combine technical progress with real-world access and long-term strategic partnerships,” Kulkarni said.

Financial Results and Capital Position Rigetti reported a gross margin of approximately 43% in the second quarter, compared with 31% in the prior-year period. Chief Financial Officer Jeff Bertelsen said the change reflected contract mix, pricing and the contribution from Novera QPU sales.

The Ugliest Stocks in the Market Just Got a Very Expensive Vote of ConfidenceTotal operating expenses rose to $30.3 million from $20.4 million a year earlier, driven primarily by research and development spending, including engineering personnel, fabrication, chip design, control electronics, refrigeration and infrastructure for higher-qubit-count systems.

Operating loss was $28.1 million, compared with $19.9 million in the second quarter of 2025. GAAP net loss was $52.6 million, compared with $39.7 million a year earlier. Non-GAAP net loss was approximately $16 million, or $0.05 per diluted share, compared with $13.3 million, or $0.04 per diluted share, a year earlier. Cash equivalents and available-for-sale investments totaled approximately $541.3 million at June 30, down from $569 million at March 31. The company reported no debt. Bertelsen said GAAP results continued to be affected by non-cash fair-value adjustments to derivative warrant and earn-out liabilities, which can create substantial quarterly volatility. He said Rigetti’s capital position provides runway for its technology and deployment plans, including investments in the United Kingdom.

Capital expenditures during the quarter were primarily related to Fab-1 and added dilution refrigeration capacity. The company expects elevated capital expenditures in 2026 as it invests in refrigeration and fabrication equipment.

Cepheus Roadmap and Fidelity Targets Kulkarni said Rigetti’s 108-qubit Cepheus-1-108Q platform remains accessible through Rigetti Quantum Cloud Services, Amazon Braket, Microsoft Azure Quantum and qBraid. The system is built from 12 interconnected nine-qubit chiplets.

The company reported median single-qubit gate fidelity of approximately 99.9%, median two-qubit gate fidelity of roughly 99.1% and gate speeds of around 60 nanoseconds for the 108-qubit system. Rigetti is targeting median two-qubit gate fidelity of about 99.5% later this year while maintaining its gate-speed profile.

Kulkarni said coherence time, currently in the 25- to 30-microsecond range, is the primary limitation on two-qubit gate fidelity. The company is pursuing chip-design, materials and fabrication initiatives intended to roughly double or triple coherence times over the next several years.

Those efforts include work with Fermilab involving tantalum-capped niobium superconducting contacts, as well as refinements to deposition, oxidation and etching processes around Josephson junctions. During the question-and-answer session, Kulkarni said Rigetti expects fidelity to improve at the 108-qubit level before the end of 2026, though it is being deliberate in testing upgrades before deploying them to cloud users.

The company remains focused on a roughly three-year objective of reaching approximately 1,000 qubits, 99.9% two-qubit gate fidelity and gate speeds below 40 nanoseconds. Rigetti has begun investing in refrigeration and related infrastructure intended to support 1,000-qubit systems.

Potential CHIPS Act Funding Rigetti previously announced that it signed a letter of intent with the U.S. Department of Commerce for a potential award of up to $100 million over three years. The prospective funding would support superconducting quantum computing research and development focused on scaling challenges.

The contemplated transaction would include an equity stake for the Department of Commerce consistent with the amount of funding provided. Kulkarni emphasized that the letter of intent is not a definitive agreement and remains subject to approvals, conditions and final terms, including the issuance of securities to the department.

Management said potential funding could accelerate work on multichip architectures, processor generations, control electronics, cryogenics, packaging and other scaling bottlenecks. Bertelsen said the company would weigh the technical benefits of the funding against potential dilution from any equity issuance.

Separately, Kulkarni said the company remains optimistic about progressing to Phase B of DARPA’s Quantum Benchmarking Initiative, though he said the timing is difficult to predict. Rigetti continues to work with DARPA on the improvement areas identified for advancement to the next phase.

System Deliveries and Hybrid Computing Collaboration Rigetti said it remains on track to deliver two nine-qubit Novera systems and a 108-qubit system for India’s Centre for Development of Advanced Computing, or C-DAC, during 2026. The company expects to recognize revenue from the $8.4 million C-DAC order in the fourth quarter following installation and performance acceptance testing.

Bertelsen said increased deferred revenue in the quarter was mainly tied to C-DAC prepayments.

The company also expanded its collaboration with HPE and the Pittsburgh Supercomputing Center, or PSC, to provide a nine-qubit Novera system for PSC’s TangleLab testbed. The National Science Foundation-funded project is intended to integrate Rigetti’s quantum system with an HPE-powered supercomputing environment for hybrid quantum-classical workload development.

Kulkarni said Rigetti will provide a full system, including the QPU, dilution refrigeration and control systems, while using third-party components where appropriate. He said delivery is expected in 2027, although the precise timing has not been established.

Management said customer engagement is growing across cloud, government, academic and commercial channels. Kulkarni said the company has recently won Novera-related business involving the University of Saskatchewan and a research arm of a large Japanese conglomerate, while commercial users have increasingly begun purchasing on-premises research systems.

Rigetti said it plans to update its published technology roadmap later in 2026 after gathering additional operating data from Cepheus-1-108Q and gaining clearer visibility into future system deployments.

About Rigetti Computing (NASDAQ:RGTI)Rigetti Computing is a pioneering quantum computing company that designs and manufactures superconducting quantum processors alongside a complementary software stack. Founded in 2013 by CEO Chad Rigetti, the company has developed end-to-end quantum systems—from cryogenic hardware to control electronics—to advance the performance and scalability of quantum machines.

At the core of Rigetti's offering is its Quantum Cloud Services (QCS) platform, which enables developers and enterprises to access quantum processing units (QPUs) and hybrid quantum-classical workflows via the cloud.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected].

Continue following MarketBeat

Add MarketBeat as your preferred source on Google to see our latest stories in your feed.

Should You Invest $1,000 in Rigetti Computing Right Now?Before you consider Rigetti Computing, you'll want to hear this.

MarketBeat keeps track of Wall Street's top-rated and best performing research analysts and the stocks they recommend to their clients on a daily basis. MarketBeat has identified the five stocks that top analysts are quietly whispering to their clients to buy now before the broader market catches on... and Rigetti Computing wasn't on the list.

While Rigetti Computing currently has a Moderate Buy rating among analysts, top-rated analysts believe these five stocks are better buys.

View The Five Stocks Here

The AI wave will soon hit public markets with Anthropic and OpenAI set to go public later this year. However, you don't have to wait to invest. This report shows seven AI stocks that you can buy today while the big model providers get ready to go public.

Get This Free Report

Live Coverage Updates appear automatically as they are published.

Live Updates 12 minutes ago

Live

In May of 2026, Rigetti announced they had signed a letter of intent with the U.S. Department of Commerce for up to $100 million in potential funding over three years.

The proposed CHIPS Act-backed award would support research addressing major obstacles to scaling superconducting quantum computers, although the Commerce Department would receive an equity stake consistent with the final funding amount.

Rigetti ended the second quarter with $541.3 million in cash and investments and no debt. That balance sheet gives the company substantial runway to fund its technology roadmap, including a planned investment of up to $100 million in the United Kingdom.

16 minutes ago

Live

Rigetti reaffirmed its goal of developing systems with approximately 1,000 qubits, 99.9% two-qubit gate fidelity, and gate speeds below 50 nanoseconds within roughly three years.

Its recently launched 108-qubit Cepheus-1 system currently achieves approximately 99.1% median two-qubit gate fidelity and 60-nanosecond gate speeds.

Rigetti has already demonstrated higher two-qubit fidelity of 99.8% on nine-qubit systems and 99.6% at the 36-qubit level.

41 minutes ago

Live

Rigetti Computing just reported earnings, with shares initially down 4% following the report. Here are the key numbers:

Revenue: $5.138 million vs. $5.13 million expected Adjusted EPS: Loss of $0.05 vs. loss of $0.05 expected Quick Read:

Rigetti’s revenue edged past expectations, while its adjusted loss matched Wall Street’s estimate.

Revenue soared 185% year over year, but losses widened by 25%, keeping profitability concerns firmly in focus.

1 hour ago

Live

Warrant liability whipsaw. GAAP results remain hostage to non-cash mark-to-market swings on derivative warrants. Q1 26 posted a $53.70 million favorable swing; Q3 25 absorbed a $181.96M charge. Expect another distorted headline number. Insider selling pressure. Senior leadership disposed of roughly 702,214 common shares at $20 to $26 in May and June, including a 499,328-share CTO sale on May 29. Options skew. The August 28 put/call ratio of 4.89 and September 4 ratio of 3.8 signal aggressive downside hedging into the post-earnings window. FX and geopolitics. The $100 million UK deployment introduces GBP exposure, alongside India, Japan, and Italy subsidiary plans, all vulnerable to deteriorating international trade relations. 1 hour ago

Live

Bull Case Q1 2026 revenue nearly tripled to $4.4M YoY, with Novera QPU shipments and the $8.4M C-DAC order supporting H2 momentum. Analyst consensus target of $29.65 implies 78.78% upside, with 9 Buys versus 4 Holds. Shares rallied 26.93% over the past week into the report, hinting at positive positioning. Bear Case Consensus EPS sits at -$0.05, a slight deterioration from Q1’s -$0.04. Q2 2025 revenue fell 41.64% YoY and EPS missed by 225%, illustrating lumpiness risk. Insiders were net sellers, with CTO David Rivas disposing of 499,328 shares at $25.396. Stock remains down 24.24% YTD despite the rebound. 1 hour ago

Live

With Rigetti Computing (NASDAQ:RGTI) set to report at 4:05 PM ET, here are some key KPIs to watch in tonight’s report:

KPIs to Watch Novera QPU revenue recognition. CFO Bertelsen said the remainder of the $5.7 million order slate lands in Q2. Progress toward the 99.5% two-qubit fidelity target on Cepheus-1-108Q. Timing on the $8.4 million C-DAC India system. Price Action and Triggers Shares gained 26.93% over the past week but sit -24.24% year-to-date.

History cautions: RGTI’s average one-week post-earnings move is -7.19% despite frequent beats. Revenue materially above $4.4 million, plus a fidelity milestone, could counter that pattern.

1 hour ago

Live

With Rigetti’s earnings call set for after today’s close, here’s what to listen for from CEO Subodh Kulkarni and the team.

Top Analyst Questions Will Q2 revenue sustain Q1’s $4.4M pace, or slip on hardware-timing lumpiness? Status of the $8.4 million C-DAC 108-qubit order and the Japanese Novera shipment? Progress toward the 150+ qubit target by year-end 2026? Update on DARPA QBI Stage B selection? Cadence of the $100 million UK deployment spend? Key Topics And Buzzwords Listen for “median two-qubit gate fidelity,” “chiplet-based architecture,” “NVQLink,” “fault-tolerant,” and “quantum advantage.” Red Flags Operating loss expanding beyond Q1’s $26 million, further dilution signals, or slipped roadmap milestones. Note the 33 recent insider transactions skewing net selling. 2 hours ago

Live

Rigetti Computing reports second-quarter 2026 earnings at about 4:05 PM ET, with shares trading around $17.04 following a -30% performance so far this year.

_________________________________

What's Your Number...?Here's a question most people 5y from retirement can't answer: at your current savings rate, how much do you need, and how long will it actually last? A good advisor can put a date on that in a single meeting. SmartAsset's free quiz matches you with up to three fiduciary advisors serving your area, so you can get YOUR retirement number now (sponsor)

__________________________________________

Investors will focus on Novera QPU deliveries, early traction for the Cepheus-1-108Q system, and Rigetti’s expansion in the United Kingdom.

The company’s $569 million cash cushion gives management substantial runway to execute its quantum-computing roadmap, although widening operating losses continue to raise the stakes.

Rigetti trades at roughly 199x forward sales, leaving little room for execution problems. A clean Novera rollout and credible fidelity update could support the 74% upside implied by Wall Street’s average price target.

Rigetti Computing (NASDAQ:RGTI) reports Q2 2026 results after the bell today at 4:05 PM ET. The earnings report lands with shares up over 10% in the past week, yet the stock is down roughly 24.24% year to date, making management’s tone on commercial traction an important factor for the stock’s reaction tonight.

Momentum Meets Execution Risk Last quarter, Rigetti nearly tripled revenue to $4.4 million from $1.5 million a year earlier, powered by Novera QPU sales and government-linked projects. Gross margin held at 31%, and Non-GAAP EPS came in at -$0.04, beating the consensus by 6.76%.

Operating loss widened to $26.0 million as R&D climbed to $19.96 million. Management put the 108-qubit Cepheus-1-108Q into general availability on Rigetti QCS, Amazon Braket, Microsoft Azure Quantum, and qBraid. Shares closed +8.29% on the day, then gave back -18.97% over the following week.

Q1 Results For reference, Rigetti saw Q1 numbers of:

$4.4M revenue 31% gross margin -$0.04 Non-GAAP EPS Management flagged the remaining $5.7 million in announced Novera POs for Q2 recognition, while the $8.4 million C-DAC order remains scheduled for Q4 acceptance. Sell-side consensus points to a $29.65 price target with 9 buy ratings and 4 holds, which implies meaningful upside from the stock’s current price of $16.71.

What I’m Watching Tonight Tonight, I’ll be watching the Novera revenue split. CFO Jeffrey Bertelsen said Q1 recognized “a little bit less than half” of the $5.7M in POs, so Q2 needs to close the gap to validate on-premises demand.

Investors will also focus on fidelity progress. CEO Subodh Kulkarni committed to “driving Cepheus-1-108Q to a median two-qubit gate fidelity of approximately 99.5% later this year,” up from the current 99.1%.

I’ll also track the UK $100 million deployment cadence tied to the ProQure program, as well as updates on NVIDIA NVQLink, Riverlane error-correction work, and Quanta-built control systems.

Cash burn is another important item to watch, with operating expenses of $27.3 million against still-modest revenue. Finally, I’ll be watching Kulkarni’s tone on commercial pipeline conversion versus government and academic orders, which remain the near-term backbone.

Earnings History Quarter EPS Surprise 1-Day Move 7-Day Move 30-Day Move Q1 2026 +6.76% -7.02% -18.97% +0.59% Q4 2025 +5.36% +0.24% -5.3% -18.44% Q3 2025 +25% -9.87% -18.12% -17.71% Q2 2025 -225% +4.29% -14.39% +11.43% On average, shares moved -7.19% in the week following earnings over the past year.

If You’ve Been Thinking About Retirement, Pay Attention (sponsor) Retirement planning doesn’t have to feel overwhelming. The key is finding expert guidance, and SmartAsset’s simple quiz makes it easier than ever for you to connect with a vetted financial advisor. Here’s how:

Answer a Few Simple Questions. 

Get Matched with Vetted Advisors 

Choose Your  Fit 

Why wait? Start building the retirement you’ve always dreamed of. Get started today! (sponsor)  

Contact [email protected] for any questions or corrections.

This post may contain links from our sponsors and affiliates, and Flywheel Publishing may receive compensation for actions taken through them.

Key Takeaways Rigetti's Q2 results may show remaining Novera revenues and early traction for the 108-qubit Cepheus-1.Investors will watch cloud usage, contracts and progress toward 99.5% two-qubit gate fidelity.RGTI targets a 150-qubit system and a 1,000-qubit quantum advantage platform within roughly three years. Rigetti Computing’s (RGTI - Free Report) second-quarter 2026 results, scheduled to report on Aug. 6, after market close, are likely to underscore continued commercial traction rather than a dramatic financial inflection. Investors are likely to primarily focus on whether the company recognized the remaining revenues from previously announced Novera quantum processing unit orders. Management had guided that the amount would largely be booked in the second quarter after partial recognition in the first quarter.

Another key area of interest is likely to be the customer adoption of the newly launched 108-qubit Cepheus-1 system across Rigetti Quantum Cloud Services, Amazon Braket, Microsoft Azure Quantum and qBraid. On its first-quarter earnings call, management commented that early customer interest and system usage had been encouraging. Investors will also watch for updates on cloud utilization trends, additional government or research contracts and the pace of commercial engagement as enterprises continue evaluating hybrid quantum-classical computing applications.

Beyond quarterly numbers, investors will be looking for progress on Rigetti's technology roadmap. The focus will particularly be on efforts to improve Cepheus-1's two-qubit gate fidelity toward the company's 99.5% target later this year. Investors will also monitor progress on Rigetti's roadmap to launch a 150-qubit system and ultimately achieve a 1,000-qubit quantum advantage platform within roughly three years. Since the first-quarter report, Rigetti has further strengthened its commercial positioning through continued momentum in government-backed quantum initiatives, including execution of its C-DAC program in India and expansion of its global footprint.

Investors will also watch for additional Novera system wins, progress on the company's planned U.K. investment and advances in error mitigation through partnerships such as Riverlane and NVIDIA. Updates on the timing of the higher-fidelity 108-qubit system and the next-generation 150-qubit platform could also serve as key drivers of investor sentiment.

While operating losses are expected to remain elevated as Rigetti continues to prioritize R&D investments, investors will closely monitor the company's progress toward key technology milestones and customer adoption. The company's strong cash position and debt-free balance sheet should provide the financial flexibility needed to execute its long-term quantum computing roadmap.

Peers UpdatesIonQ's (IONQ - Free Report) second-quarter 2026 results, scheduled for Aug. 5, are expected to highlight continued commercial execution as the company expands its quantum networking and computing footprint. Investors are likely to focus on bookings growth, customer additions and progress integrating recent acquisitions, alongside updates on government and enterprise contracts. Commentary around the company's roadmap toward fault-tolerant quantum systems and the pace of quantum networking deployments could also be key catalysts.

D-Wave Quantum (QBTS - Free Report) second-quarter 2026 earnings, scheduled to be reported on Aug. 6, are expected to reflect continued demand for its annealing quantum computing platform and expanding commercial adoption. Investors will watch for growth in quantum optimization revenues, customer wins and increased usage of its Leap quantum cloud service. Updates on the commercialization of its next-generation Advantage2 system, along with customer traction across logistics, manufacturing and government markets, will likely be closely monitored.

Rigetti’s Price Performance, Valuation and EstimatesShares of RGTI have lost 36.2% in the year-to-date period compared with the industry’s decline of 11.9%.

Image Source: Zacks Investment Research

From a valuation standpoint, Rigetti trades at a price-to-book ratio of 8.06, above the industry average. RGTI carries a Value Score of F.

Image Source: Zacks Investment Research

The Zacks Consensus Estimate for Rigetti’s 2026 earnings implies a significant 71.9% improvement from the year-ago period.

Image Source: Zacks Investment Research

The company currently has a Zacks Rank #3 (Hold).

You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Key Takeaways Rigetti ended the first quarter with nearly $569 million in liquidity and no debt.Investments target Fab-1 expansion, refrigeration capacity and chiplet-based architecture.Rigetti plans to invest up to $100 million in the U.K. while pursuing quantum advantage. Rigetti Computing’s (RGTI - Free Report) first-quarter 2026 results highlighted that one of the company’s greatest strengths goes well beyond its quantum technology. It ended the quarter with nearly $569 million in cash, cash equivalents and available-for-sale investments, while remaining debt-free. This robust liquidity gives Rigetti the financial capacity to execute its multi-year technology roadmap without relying on frequent capital raises, a notable advantage in an industry where many emerging quantum players continue to face funding constraints.

The company intends to keep investing aggressively throughout 2026, with spending directed toward expanding Fab-1 manufacturing capabilities, increasing dilution refrigeration capacity and advancing its chiplet-based quantum architecture. While these investments may weigh on near-term profitability, they are designed to strengthen Rigetti’s technology leadership and support the development of larger, higher-performance quantum systems.

Management also emphasized that its primary objective remains long-term value creation rather than meeting short-term financial milestones. The company continues to focus on improving gate fidelity, scaling modular quantum computing systems and reaching quantum advantage over the next three years. Backed by disciplined capital allocation and a healthy balance sheet, Rigetti believes it has the resources needed to pursue these goals.

Beyond its U.S. operations, Rigetti plans to invest up to $100 million in the United Kingdom to expand its international presence while continuing to build strategic partnerships that support its technology roadmap. Although quarterly revenues are expected to fluctuate due to the timing of quantum system deliveries, the company’s strong financial foundation provides the flexibility to execute its long-term strategy and benefit from the growing commercial adoption of quantum computing.

Peers UpdatesQuantum Computing Inc. (QUBT - Free Report) or QCi announced the completion of acquiring NHanced Semiconductors, Inc. for a combination of cash and QCi stock valued at $73.1 million, subject to customary adjustments, and up to an additional $72.0 million if certain performance targets are achieved. The acquisition marks an important step in QCi’s transition from research-driven innovation and prototyping to scalable commercial production.

D-Wave Quantum (QBTS - Free Report) is expanding beyond annealing into gate-model quantum computing following its Quantum Circuits acquisition. The company targets roughly 175 physical qubits by the end of 2028, 10 logical qubits by 2030 and 100 logical qubits by 2032. However, delays in foundry capacity, chip integration or customer adoption could postpone commercialization and keep revenue growth uneven.

Rigetti’s Price Performance, Valuation and EstimatesShares of RGTI have lost 35.7% in the year-to-date period compared with the industry’s decline of 6.7%.

Image Source: Zacks Investment Research

From a valuation standpoint, Rigetti trades at a price-to-book ratio of 8.12, above the industry average. RGTI carries a Value Score of F.

Image Source: Zacks Investment Research

The Zacks Consensus Estimate for Rigetti’s 2026 earnings implies a significant 71.9% improvement from the year-ago period.

Image Source: Zacks Investment Research

The company currently has a Zacks Rank #3 (Hold).

You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Rigetti Computing's (RGTI 2.53%) quantum systems may one day crack problems that classical (ordinary) computers never could, like designing novel drugs or designing materials from the ground up. That day has yet to come, but the company, along with competitors like IonQ and D-Wave Quantum, is racing to create a computer powerful enough -- and, critically, reliable enough -- to do so.

Recently, the U.S. government made getting there a priority, placing Rigetti and a handful of other quantum firms on a short list of companies it's willing to back with public money. The company signed a letter of intent with the Commerce Department for up to $100 million over three years. The stock was up nearly 70% to just over $27 following the announcement, but has fallen since, now hovering around $16.60 as of July 8.

So, is now the time to jump in? Is Rigetti stock a buy below $20?

Today's Change

(

-2.53

%) $

-0.43

Current Price

$

16.56

The bull case Rigetti has the blessing of the Commerce Department That government deal is a great place to start for the bull case. Being one of a handful of quantum companies chosen is a validation of Rigetti's work so far and its potential in the eyes of the federal government. It also means Rigetti gets an infusion of cash to help it continue its efforts for years.

Rigetti has made real technical progress The basic building block of a quantum computer is a qubit, the quantum version of the 1s and 0s in a normal computer. In general, the more, the better.

But raw qubit count is only one part of the picture. Even more critical is how error-prone these qubits are, what the industry calls fidelity.

Rigetti has made real strides here. Its latest system, the Cepheus-1-108Q, has 108 qubits with a single gate fidelity rate of 99.9%. That's a big jump from the 99.5% fidelity achieved by a prior system with 84 qubits just 18 months ago.

Rigetti has a balance sheet with room to breathe In an industry very much still in research and development mode, a healthy balance sheet is of utmost importance. Rigetti is in a relatively solid position with $443.5 million in cash and short-term investments and minimal debt. With how much it's spending, that should give the company roughly three years of runway.

The bear case The government award isn't final yet The agreement that was signed was a letter of intent (LOI), meaning it is non-binding. The stock jumped on the news, but there's a non-zero chance the funding never comes through. If it does, the investment isn't free. The government gets an equity stake and dilutes current shareholders in the process.

The fidelily headlines are a bit misleading A 99.9% fidelity rate is genuinely a major jump in the right direction, but there is much further to go than the number implies. When the average investor reads that, it seems that Rigetti is right on the edge of achieving near-perfect fidelity. It's not.

It makes it much clearer if you flip it around to the error rate. A 99.9% fidelity becomes a 0.1% error rate. That means there is an error in 1 out of every 1,000 operations. For these systems to produce meaningful work, they need to be performing millions of calculations every second -- thousands of errors a second at current rates. And remember, errors compound.

Image source: Getty Images.

Classical computers today have error rates on the order of 1 out of every quadrillion -- a billion billion -- operations.

Because of the nature of quantum systems, they can't match the error rate of classical systems, but, thankfully, they don't need to. They do, however, need to hit something on the order of 1 in 1,000,000 to begin to be truly useful.

That's a 99.9999% fidelity rate -- about 1,000 times less error-prone than Rigetti's latest system.

Spending is an issue While the company's balance sheet gives it room to breathe for now, cash burn is increasing -- a trend that is likely to accelerate as the level of difficulty in developing the technology increases. And that's before any major ramp from manufacturing systems at scale when that time comes. There is likely to be much more need for capital raising -- and dilution -- before revenue ramps to match expenses.

The bottom line Of course, at the end of the day, all of this hinges on whether -- and when -- Rigetti can deliver real, commercially viable quantum computers to the market. If you are on board with the more optimistic timelines and you believe Rigetti will be the one to do it, then today's stock price is justifiable.

If, like me, you think things are going to take a lot longer than bulls hope, Rigetti is a pass anywhere near $20.

Key Takeaways Rigetti ended Q1 2026 with about $569M in cash and investments and no debt.Rigetti plans elevated 2026 capex to expand Fab-1 and dilution refrigeration capacity.Rigetti aims to improve gate fidelity and achieve quantum advantage in roughly three years. Rigetti Computing’s (RGTI - Free Report) first-quarter 2026 results reinforced that one of its biggest competitive advantages extends beyond its quantum technology. The company exited the quarter with approximately $569 million in cash, cash equivalents and available-for-sale investments while carrying no debt, giving it ample financial flexibility to fund its ambitious technology roadmap.

Rigetti appears well-positioned to continue investing in fabrication, higher-qubit systems and infrastructure without compromising execution when many early-stage quantum computing companies remain heavily dependent on external financing. Management reiterated that capital spending will remain elevated this year as it expands Fab-1 capabilities, adds dilution refrigeration capacity and advances its chiplet-based architecture, investments that are expected to strengthen its long-term competitive position rather than maximize near-term profitability.

More importantly, management made it clear that the company is prioritizing long-term value creation over short-term financial targets. Rigetti remains focused on improving gate fidelity, scaling its modular quantum systems and achieving quantum advantage in roughly three years, supported by disciplined capital allocation and a strong balance sheet.

The company also plans to invest up to $100 million in the United Kingdom to expand its global quantum footprint while continuing to pursue strategic partnerships that accelerate its roadmap. Although quarterly revenues will likely remain uneven given the timing of large system deployments, Rigetti's financial strength provides the runway needed to execute its technology strategy and capitalize on growing commercial opportunities as the quantum computing market matures.

Peers UpdatesQuantum Computing Inc. (QUBT - Free Report) or QCi announced the completion of acquiring NHanced Semiconductors, Inc. for a combination of cash and QCi stock valued at $73.1 million, subject to customary adjustments, and up to an additional $72.0 million if certain performance targets are achieved. The acquisition marks an important step in QCi’s transition from research-driven innovation and prototyping to scalable commercial production. By adding semiconductor and nanophotonics fabrication capabilities, advanced packaging expertise and specialized engineering talent, QCi is strengthening its operational capabilities and manufacturing readiness.

IonQ (IONQ - Free Report) recently opened a new 22,000-square-foot quantum computing R&D laboratory and semiconductor chip testing facility in Boulder, CO, to support the development of future generations of its trapped-ion quantum computing systems. The facility will enable the company to design, test and refine advanced semiconductor ion-trap chips, with plans to install its first quantum computer later this year. By expanding its presence in Colorado's growing quantum technology ecosystem and leveraging the region's deep-tech talent pool, IONQ aims to accelerate innovation, scale production capabilities and advance its roadmap toward fault-tolerant quantum computing.

Rigetti’s Price Performance, Valuation and EstimatesShares of RGTI have lost 12.3% in the year-to-date period compared with the industry’s decline of 16.3%.

Image Source: Zacks Investment Research

From a valuation standpoint, Rigetti trades at a price-to-book ratio of 11.07, above the industry average. RGTI carries a Value Score of F.

Image Source: Zacks Investment Research

The Zacks Consensus Estimate for Rigetti’s 2026 earnings implies a significant 71.9% improvement from the year-ago period.

Image Source: Zacks Investment Research

The company currently has a Zacks Rank #4 (Sell).

You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Key Takeaways Rigetti appears better positioned for near-term upside after Quantinuum's IPO reset sector valuations.RGTI's 108-qubit Cepheus-1-108Q and $569M cash balance support its chiplet-based roadmap.IonQ leads commercialization with $64.7M in Q1 revenues, but its sharp rally may limit near-term gains. After a volatile start to 2026, quantum computing stocks have staged an impressive comeback. Since April 1, shares of IonQ (IONQ - Free Report) have surged 109.9%, while Rigetti Computing (RGTI - Free Report) has rallied 58.4%, both significantly outperforming the S&P 500's 14.5% gain. The recovery reflects renewed investor optimism toward the quantum computing industry as commercialization milestones accelerate and governments and enterprises increase investments in next-generation computing technologies.

The latest catalyst fueling enthusiasm is the Quantinuum's (QNT - Free Report) blockbuster public listing. The company has emerged as one of the largest pure-play quantum computing firms, and its public debut is resetting valuation expectations across the industry. Investors now have a new benchmark for assessing publicly traded quantum names, sparking fresh interest in companies with credible technology road maps, growing commercial traction and sufficient capital to scale their platforms.

With the quantum sector entering a new phase of price discovery following Quantinuum's listing, investors must determine which stock is better positioned to capitalize on the industry's next leg of growth. Let's find out.

Image Source: Zacks Investment Research

Rigetti's Chiplet Progress and Adoption Fuel GrowthRigetti continues to strengthen its position in superconducting quantum computing through its differentiated chiplet-based architecture and improving commercial traction. In the first quarter of 2026, the company reported revenue growth of nearly 199% year over year to $4.4 million, driven primarily by on-premises Novera QPU deliveries and related contracts.

The company recently achieved general availability of its 108-qubit Cepheus-1-108Q system, one of the largest modular quantum computers currently available. Rigetti's chiplet architecture has been validated through the successful integration of 12 interconnected chiplets, marking an important step toward scaling higher-qubit systems. Customer momentum is also improving, supported by expanding availability across Amazon Braket, Microsoft Azure Quantum and qBraid, as well as an $8.4 million order from India's C-DAC. With $569 million in cash and no debt, Rigetti remains well-funded to execute its long-term roadmap.

Risks to ConsiderHowever, risks remain considerable. Revenues are still relatively small and heavily dependent on the timing of system deliveries and government contracts. The company remains unprofitable and must continue improving fidelities while proving that its chiplet-based approach can scale to commercially relevant, fault-tolerant systems with more than 1,000 qubits. Execution risks could also intensify as competition in the quantum computing industry heats up following Quantinuum's IPO.

IonQ's Quantum Platform and Demand Drive OptimismIonQ has emerged as one of the quantum industry's early commercialization leaders. In the first quarter of 2026, the company generated a record $64.7 million in revenues, up 755% year over year. Management also raised its 2026 revenue guidance to $260-$270 million, reflecting strong demand across its quantum computing platform.

Commercial momentum remains impressive. Remaining performance obligations surged 554% year over year to $470 million, providing strong revenue visibility. About 60% of first-quarter revenues came from commercial customers, while 35% originated from international markets. The company has also presold its first chip-based 256-qubit system and expects customer commissioning to begin in the second quarter of 2027. Its proposed SkyWater Technology acquisition is likely to further strengthen manufacturing capabilities and support long-term scaling ambitions.

Risks to ConsiderHowever, risks remain significant. IonQ continues to invest heavily in manufacturing expansion and next-generation system development, which could keep profitability under pressure. The company also faces execution risks in translating its growing backlog into sustainable earnings. Additionally, the stock's massive rally has elevated valuation expectations, potentially capping near-term upside.

2026 EstimatesRGTI expects to record earnings growth of 71.9% in 2026. Revenues are expected to increase 257.3% in 2026.

Image Source: Zacks Investment Research

IONQ expects record earnings growth of 42.9% in 2026. Revenues are projected to surge 101.9% in 2026.

Image Source: Zacks Investment Research

Short-Term Price Targets Favor Rigetti Over IonQBased on short-term price targets offered by 10 analysts, the average price target of RGTI of $31 represents an increase of 45.1% from the last closing price of $21.36.

Image Source: Zacks Investment Research

Based on short-term price targets offered by 11 analysts, the average price target of IONQ of $69.95 represents an increase of 23.7% from the last closing price of $56.55.

Image Source: Zacks Investment Research

Which Stock Offers Higher Upside Potential After Quantinuum's IPO?Both companies stand to benefit from the renewed investor interest generated by Quantinuum's public debut. Quantinuum's IPO is likely to act as a valuation reset for the sector, drawing additional institutional capital toward publicly traded quantum computing companies with credible technology road maps and commercialization strategies.

However, Rigetti appears better positioned for near-term upside in a post-Quantinuum environment. Although both stocks currently carry a Zacks Rank #4 (Sell), RGTI offers substantially higher analyst-implied upside potential, a sizeable cash position with no debt, and growing momentum around its chiplet-based architecture and system deployments.

You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Meanwhile, IonQ remains the sector's commercial leader and arguably possesses the strongest long-term platform strategy. However, its shares have already more than doubled since April, resulting in richer valuation multiples and potentially limiting additional gains in the near term.

Investors seeking exposure to the next phase of enthusiasm following Quantinuum's IPO may find Rigetti's risk-reward profile more attractive at current levels. Long-term investors may continue to monitor IonQ's commercialization progress closely, but after its extraordinary rally, RGTI appears to offer the better upside opportunity as the quantum sector enters its next chapter.