Rigetti Computing (NASDAQ:RGTI) Sees Strong Trading Volume - Should You Buy?

Rigetti Computing, Inc. (NASDAQ:RGTI) experienced a notable increase in trading volume recently, with 37,459,387 shares changing hands on a recent Friday. This figure marks a 17% drop from the previous session when 45,168,742 shares were traded. The stock's last trading price stood at $10.31, showing a significant rise from its previous close of $8.75.

Analysts Predict Growth

Numerous research analysts have shown interest in Rigetti Computing, resulting in various reports. Alliance Global Partners reiterated a "buy" rating for the stock in their report from March 6th. Similarly, Needham & Company LLC reaffirmed a "buy" rating and set a price target of $17.00 on the shares. Craig Hallum started its coverage of Rigetti Computing with a "buy" rating, along with a $12.00 price target. Additionally, Benchmark maintained a "buy" rating with a projected price target of $14.00, while B. Riley raised their target from $8.50 to $15.00, also rating the company as a buy. A total of five research analysts have given Rigetti Computing a buy rating, leading to an average rating of "Buy" and a consensus target price of $14.50, according to MarketBeat.com.

Stock Performance

Rigetti Computing's stock has seen a 19.2% increase recently. The company holds a quick ratio of 4.84 and a current ratio of the same value, indicating a strong liquidity position. It has a low debt-to-equity ratio of 0.02 and its market capitalization is approximately $2.01 billion. The stock's price-to-earnings ratio stands at -27.46 with a beta of 1.37. Additionally, the fifty-day simple moving average is $11.26, while the two-hundred-day simple moving average is $6.06.

On March 5th, Rigetti Computing released its earnings report, disclosing an earnings per share (EPS) of ($0.08), aligning with the consensus estimate. The company's revenue was reported at $2.27 million, slightly below the anticipated $2.40 million. The business reported a negative return on equity of 51.56% and a substantial negative net margin of 509.58%. This represents a decrease in earnings per share from ($0.04) in the same quarter last year. Analysts predict that Rigetti Computing will report -0.34 EPS in the current fiscal year.

Insider Transactions

In recent insider trading news, Chief Technology Officer David Rivas sold 351,785 shares of Rigetti Computing stock on March 11th, at an average price of $7.76, amounting to a total of $2,729,851.60. Following the transaction, Rivas now holds 1,094,738 shares in the company, currently valued at approximately $8,495,166.88. This sale represents a 24.32% decrease in Rivas's ownership of Rigetti stock. As of now, insiders own about 2.81% of the company's stock.

Institutional Investments in Rigetti Computing

Several hedge funds and institutional investors have adjusted their holdings in Rigetti Computing recently. For instance, Vanguard Group Inc. increased its stake by 81.7% in the last quarter, now owning 11,746,361 shares valued at $179,249,000 after buying an additional 5,280,128 shares. Invesco Ltd. saw an enormous increase of 7,367.2%, owning 4,580,317 shares valued at $69,896,000, following the acquisition of an additional 4,518,978 shares. Similarly, JPMorgan Chase & Co. raised their stake by 3,295.7%, now holding 2,117,563 shares worth $32,314,000 after purchasing an additional 2,055,203 shares. Nuveen Asset Management LLC also increased its holding by 418.6%, and Geode Capital Management LLC grew its share by 20.6%. Overall, institutional investors now own 35.38% of Rigetti Computing's stock.

Overview of Rigetti Computing

Rigetti Computing, Inc., through its subsidiaries, focuses on building quantum computers and superconducting quantum processors. The company provides cloud-based quantum processing units, including a 9-qubit chip and the Ankaa-2 system under the Novera brand, while also offering access to its quantum computers as a service.

Conclusion

Before considering an investment in Rigetti Computing, it may be worth noting that while analysts currently rate the stock as a buy, leading analysts are suggesting there are alternative stocks that could offer better investment opportunities.

Rigetti, Computing, Stocks