Quantum Computing Stocks Experience Increased Volatility
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Mar 22 2026
0mins
Should l Buy RGTI?
Source: Fool
- Rigetti's Future Outlook: Rigetti Computing expects to release its 108-qubit system by the end of Q1, and despite a 32% drop in stock price this year, Wall Street analysts remain optimistic, with an average price target suggesting about 117% upside and a peak target reaching 162%.
- Market Share Expectations: Mizuho Securities analyst Vijay Rakesh believes Rigetti could capture 10% of the quantum computing market within the next 30 months, even though the company currently generates minimal revenue and incurs significant losses, its product roadmap is still on track.
- IonQ's Technological Breakthrough: IonQ set a world record for two-qubit gate fidelity at over 99.99% last October and plans to demonstrate its 256-qubit system this year; despite a 28% drop in stock price, analysts remain bullish, with an average price target implying about 91% upside and a peak target of 197%.
- Financial Condition Analysis: IonQ is projected to achieve $130 million in revenue by 2025, representing over 200% year-over-year growth; while still operating at a loss, it boasts nearly $2.4 billion in cash and short-term equivalents, indicating strong financial backing.
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Analyst Views on RGTI
Wall Street analysts forecast RGTI stock price to rise
10 Analyst Rating
7 Buy
3 Hold
0 Sell
Moderate Buy
Current: 14.410
Low
30.00
Averages
39.75
High
51.00
Current: 14.410
Low
30.00
Averages
39.75
High
51.00
About RGTI
Rigetti Computing, Inc. is a full-stack quantum computing company. The Company operates quantum computers over the cloud and serves global enterprise, government, and research clients through its Rigetti Quantum Cloud Services platform. The Company’s quantum-classical infrastructure provides high-performance integration with public and private clouds for practical quantum computing. It has developed a multi-chip quantum processor for scalable quantum computing systems. Through the Company’s Quantum Computing as a Service (QCaaS) platform, its machines can be integrated into any public, private or hybrid cloud. It is also engaged in the sale of quantum processing units (QPUs) and custom computing components, and development contracts and other services. Its QPUs contain fabricated silicon-based chips featuring superconducting qubits. The Company designs and manufactures its chips in-house at Fab-1, an integrated quantum device manufacturing facility.
About the author

Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
- Insider Selling Surge: As of mid-October 2025, insiders at IonQ, Rigetti Computing, and D-Wave Quantum have collectively sold over $930 million in stock, indicating a lack of confidence from executives regarding the companies' future prospects, which could negatively impact investor sentiment.
- Market Volatility: Over the past 12 months, stocks of IonQ, Rigetti, and D-Wave surged between 670% and 6,217%, yet recent declines, including a 6.85% drop for IonQ, reflect short-term concerns about quantum computing's viability.
- Optimistic Investment Outlook: Despite the selling trend, analysts project that quantum computing could add between $450 billion and $850 billion in global economic value by 2040, highlighting its long-term potential.
- Warning from Insider Transactions: Over the last five years, insider purchases totaled only $3.35 million for IonQ, $625,000 for Rigetti, and just over $309,000 for D-Wave, suggesting executives may not view their stocks as undervalued, potentially diminishing investor interest.
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- Stock Surge: As of mid-October 2025, shares of IonQ, Rigetti Computing, and D-Wave Quantum have skyrocketed between 670% and 6,217% over the past year, reflecting strong market interest in quantum computing, although this growth may be overly optimistic.
- Insider Trading Dynamics: Over the past five years, insiders at quantum computing firms have collectively sold more than $930 million in stock, indicating a lack of confidence from executives and board members in their company's shares, which may suggest future financial pressures.
- Investment Outlook Analysis: While the long-term prospects for quantum computing are promising, with analysts projecting an addition of $450 billion to $850 billion in global economic value by 2040, the current high valuations and lack of insider buying could lead to short-term price corrections.
- Market Warning Signals: Insider purchases in the quantum computing sector totaled only $3.35 million (IonQ), $625,000 (Rigetti), and just over $309,000 (D-Wave), indicating a lack of confidence among executives regarding future stock price increases, prompting investors to carefully assess risks.
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- Revenue Decline: Rigetti Computing generated only $7.1 million in total revenue for 2025, a 34% drop from $10.8 million in 2024, which is negligible for a $5.3 billion company, highlighting the fragility of its business model.
- Significant Loss Pressure: The company reported a staggering $216.2 million net loss in 2025, and despite having $589.8 million in cash reserves, it may need to implement drastic cost-cutting measures if it cannot quickly increase revenue to address ongoing financial pressures.
- Valuation Risks: Even after a 72% decline in Rigetti's stock, it still trades at an unsustainable price-to-sales ratio of 703, significantly higher than industry peers like Nvidia (19.9) and Palantir (92.1), indicating potential for further stock price drops.
- Slow Technological Progress: Although Rigetti plans to launch a new quantum system with a gate fidelity of 99.7% in December, the inability to replicate the 99.9% fidelity in commercial settings raises concerns about achieving meaningful revenue growth in the near term, exacerbating market fears about its future.
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- Significant Revenue Decline: Rigetti Computing generated only $7.1 million in total revenue for 2025, a 34% drop from $10.8 million in 2024, indicating a fragile business model for a $5.3 billion company, which could further erode investor confidence.
- Massive Loss Risk: The company reported a staggering $216.2 million GAAP loss in 2025, and while it ended the year with $589.8 million in cash and equivalents, it may need to implement drastic cost-cutting measures if it fails to rapidly increase revenue to address ongoing financial pressures.
- Unreasonable Valuation: Despite a 72% decline in Rigetti's stock price, it still trades at a price-to-sales ratio of 703, far exceeding industry peers like Nvidia (19.9) and Palantir (92.1), indicating that its current valuation is unsustainable and may face further declines.
- Slow Technological Progress: Although Rigetti plans to launch a new quantum system with a gate fidelity of 99.7% in December, its existing systems still exhibit high error rates, making it unlikely to achieve significant revenue growth in the foreseeable future, which exacerbates market pessimism about its prospects.
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- Investment Scale: Rigetti Computing announced its intention to invest up to $100 million in the UK to accelerate quantum computing development, marking its first major investment outside the United States and demonstrating its commitment to global expansion.
- Quantum Computing Goal: The company plans to deploy a quantum computer with over 1,000 qubits within three to four years, which will significantly enhance its technological capabilities and competitive position in the quantum computing sector.
- Government Support: This investment aligns with the UK government's commitment of up to £2 billion to support quantum computing development, aiming to position the UK as a global leader in the field, thus providing Rigetti with a favorable policy environment.
- Existing Foundation: Rigetti already has a 36-qubit system deployed at the National Quantum Computing Centre and is involved in quantum error correction research, laying a solid foundation for its future investments and technological advancements.
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- Quantum Computing Initiative: Rigetti Computing plans to deploy over 1,000 qubit quantum computers in the UK within the next 3 to 4 years.
- Strategic Development: This initiative aims to enhance the UK's capabilities in quantum technology and contribute to advancements in the field.
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