Key Stats for Rigetti Stock
- Price change for Rigetti stock in the last 6 months: -10%
- $RGTI Stock Price as of Sep. 8: $16
- 52-Week High: $58
- $RGTI Stock Price Target: $29
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What Happened?
Rigetti Computing (RGTI) stock jumped 6% after the company signed a definitive agreement with the U.S. Commerce Department for up to $100 million in CHIPS Act funding.
In exchange, the government takes a minority, non-controlling equity stake. D-Wave Quantum secured a matching $100 million deal on the same terms, and its stock climbed 5% on similar news.
The funding covers three specific projects for Rigetti: miniaturized readout electronics, a new cryostat design meant to expand cryogenic capacity, and fabrication work for high-connectivity chip architectures.
This builds on letters of intent the Commerce Department first outlined back in May, when it announced $2.013 billion spread across nine quantum computing companies.
On the earnings call, Rigetti CEO Subodh Kulkarni summed up the goal simply, saying the funding is meant to accelerate the company’s roadmap.
The broader quantum sector isn’t rallying alongside Rigetti Computing stock today. The Defiance Quantum ETF is up just 1%, while the S&P 500 is roughly flat.
That tells you this move is specific to the companies that actually received funding, not a sector-wide trend.
There’s a real trade-off here too.
The government money extends Rigetti’s research runway, but the equity stake means existing shareholders face some dilution down the road.
That’s likely part of why the broader quantum ETF isn’t following Rigetti Computing stock and D-Wave higher today, even as those two names pop.
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What the Market Is Telling Us About Rigetti Stock
Despite today’s gain, Rigetti Computing stock is still down 33% year to date, showing how much ground it lost before this bounce.
D-Wave is in a similar spot, down 37% year to date despite its own gain today. In other words, today’s move only claws back a small piece of a rough year for both companies.
Rigetti enters this news with a solid cash position, holding roughly $541 million as of the end of Q2.
That gives the company real financial flexibility to keep investing in its superconducting quantum computing roadmap, which targets reaching roughly 1,000 qubits with 99.9% two-qubit gate fidelity within about three years.
Going forward, investors will want to watch the specific milestone schedule tied to Rigetti’s $100 million award, since that determines how quickly government capital actually turns into hardware progress.
Given how volatile quantum computing stocks have been this year, position sizing matters here.
The government backing is a genuine vote of confidence in the technology, but it comes with real dilution risk attached, and Rigetti Computing stock will likely keep swinging on both fronts as more details emerge.
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Disclaimer:
Please note that the articles on TIKR are not intended to serve as investment or financial advice from TIKR or our content team, nor are they recommendations to buy or sell any stocks. We create our content based on TIKR Terminal’s investment data and analysts’ estimates. Our analysis might not include recent company news or important updates. TIKR has no position in any stocks mentioned. Thank you for reading, and happy investing!
