Shares of Rigetti Computing (RGTI, Financial) experienced an uptick of 60 cents, equivalent to a 3.62% increase, bringing the price to approximately $17.16. The day saw an unusually high options trading volume, with 285,000 contracts exchanged. The preference for call options over puts resulted in a put/call ratio of 0.28, which is below the typical level of about 0.39.
Implied volatility (IV30) decreased by 5.93 to reach 113.68, which remains under the 52-week median. This drop in implied volatility suggests an anticipated daily price fluctuation of $1.23. Additionally, the steepening of the put-call skew indicates a growing interest in options for downside protection.
Wall Street Analysts Forecast
Based on the one-year price targets offered by 6 analysts, the average target price for Rigetti Computing Inc (RGTI, Financial) is $15.17 with a high estimate of $18.00 and a low estimate of $14.00. The average target implies an downside of 11.51% from the current price of $17.14. More detailed estimate data can be found on the Rigetti Computing Inc (RGTI) Forecast page.
Based on the consensus recommendation from 7 brokerage firms, Rigetti Computing Inc's (RGTI, Financial) average brokerage recommendation is currently 2.0, indicating "Outperform" status. The rating scale ranges from 1 to 5, where 1 signifies Strong Buy, and 5 denotes Sell.
Based on GuruFocus estimates, the estimated GF Value for Rigetti Computing Inc (RGTI, Financial) in one year is $0.80, suggesting a downside of 95.33% from the current price of $17.14. GF Value is GuruFocus' estimate of the fair value that the stock should be traded at. It is calculated based on the historical multiples the stock has traded at previously, as well as past business growth and the future estimates of the business' performance. More detailed data can be found on the Rigetti Computing Inc (RGTI) Summary page.
RGTI Key Business Developments
Release Date: May 12, 2025
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
- Rigetti Computing Inc (RGTI, Financial) has been selected to participate in DARPA's quantum benchmarking initiative, advancing their utility scale quantum computer concept.
- The company received an AFOSR award to further develop their breakthrough chip fabrication technology, ABAA, in collaboration with prestigious institutions.
- Rigetti Computing Inc (RGTI) was awarded three Innovate UK Quantum Miss Pilot Awards to advance superconducting quantum computing.
- The company successfully demonstrated optical control of a superconducting qubit, which could significantly aid in scaling quantum systems.
- Rigetti Computing Inc (RGTI) closed a strategic investment deal with Quanta Computer Inc, securing approximately $35 million.
Negative Points
- Revenues in the first quarter of 2025 were $1.5 million, a decrease from $3.1 million in the first quarter of 2024.
- Gross margins dropped to 30% in Q1 2025 from 49% in Q1 2024, partly due to lower margin contracts.
- Operating expenses increased to $22.1 million in Q1 2025 from $18.1 million in the prior year, driven by salary increases and stock compensation expenses.
- The company reported an operating loss of $21.6 million for Q1 2025, up from $16.6 million in the previous year.
- The passage and appropriation of the NQI reauthorization bill, which is crucial for funding, has been delayed, impacting potential sales and funding opportunities.
