Rigetti Computing (NASDAQ:RGTI) Shares Down 3.3% - Should You Sell?

Key Points

• Rigetti Computing shares fell 3.3% in mid-day trading, with the stock last at $18.68 after trading as low as $18.65. Volume was below average, at about 24.3 million shares versus the typical 35.7 million.
• Analyst sentiment remains mixed but leans positive: the stock has a consensus rating of Moderate Buy with an average price target of $29.18. Still, some firms remain cautious, including Weiss Ratings’ recent sell rating and Northland’s market perform view.
• Rigetti recently beat earnings expectations, reporting a smaller-than-expected loss and 198.9% revenue growth year over year. However, insiders have also sold shares in recent months, including large sales by the CTO and CFO.

Rigetti Computing, Inc. (NASDAQ:RGTI - Get Free Report) was down 3.3% during mid-day trading on Wednesday . The stock traded as low as $18.65 and last traded at $18.68. Approximately 24,324,976 shares were traded during mid-day trading, a decline of 32% from the average daily volume of 35,722,234 shares. The stock had previously closed at $19.32.

Wall Street Analyst Weigh In

Several analysts have weighed in on RGTI shares. Wall Street Zen upgraded Rigetti Computing from a "sell" rating to a "hold" rating in a research note on Saturday, May 23rd. Northland Securities started coverage on Rigetti Computing in a research note on Monday, April 20th. They issued a "market perform" rating and a $20.00 price objective for the company. Benchmark decreased their target price on Rigetti Computing from $35.00 to $25.00 and set a "buy" rating for the company in a report on Friday, March 20th. Rosenblatt Securities reiterated a "buy" rating and issued a $40.00 price target on shares of Rigetti Computing in a report on Thursday, June 11th. Finally, Weiss Ratings restated a "sell (e+)" rating on shares of Rigetti Computing in a research note on Tuesday, June 2nd. Eight investment analysts have rated the stock with a Buy rating, four have assigned a Hold rating and one has issued a Sell rating to the company. According to MarketBeat, the company currently has a consensus rating of "Moderate Buy" and an average price target of $29.18.

Rigetti Computing Trading Down 3.3%

The firm has a market cap of $6.21 billion, a PE ratio of -21.47 and a beta of 1.88. The company has a 50-day simple moving average of $20.44 and a 200 day simple moving average of $19.67.

Rigetti Computing (NASDAQ:RGTI - Get Free Report) last posted its earnings results on Monday, May 11th. The company reported ($0.04) earnings per share (EPS) for the quarter, beating the consensus estimate of ($0.05) by $0.01. The firm had revenue of $4.40 million during the quarter, compared to analysts' expectations of $4.09 million. Rigetti Computing had a negative net margin of 2,789.71% and a negative return on equity of 10.40%. The business's revenue was up 198.9% compared to the same quarter last year. During the same period in the previous year, the business posted ($0.05) EPS. On average, equities analysts expect that Rigetti Computing, Inc. will post -0.22 earnings per share for the current year.

Insider Transactions at Rigetti Computing

In other Rigetti Computing news, CTO David Rivas sold 499,328 shares of the stock in a transaction that occurred on Friday, May 29th. The stock was sold at an average price of $25.40, for a total transaction of $12,682,931.20. Following the transaction, the chief technology officer owned 325,945 shares in the company, valued at approximately $8,279,003. This represents a 60.50% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, CFO Jeffrey A. Bertelsen sold 3,682 shares of the firm's stock in a transaction that occurred on Friday, May 22nd. The shares were sold at an average price of $22.95, for a total value of $84,501.90. Following the completion of the sale, the chief financial officer directly owned 171,927 shares in the company, valued at approximately $3,945,724.65. The trade was a 2.10% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders have sold a total of 728,901 shares of company stock valued at $17,546,343 in the last ninety days. 1.60% of the stock is currently owned by corporate insiders.

Institutional Trading of Rigetti Computing

Several institutional investors have recently modified their holdings of the stock. Clear Street Group Inc. acquired a new stake in shares of Rigetti Computing in the third quarter valued at approximately $47,752,000. Intech Investment Management LLC boosted its position in shares of Rigetti Computing by 66.3% during the 4th quarter. Intech Investment Management LLC now owns 120,260 shares of the company's stock valued at $2,664,000 after acquiring an additional 47,935 shares during the last quarter. Van ECK Associates Corp boosted its position in shares of Rigetti Computing by 384.2% during the 3rd quarter. Van ECK Associates Corp now owns 548,217 shares of the company's stock valued at $16,331,000 after acquiring an additional 434,995 shares during the last quarter. Patriot Financial Group Insurance Agency LLC grew its holdings in shares of Rigetti Computing by 105.3% in the first quarter. Patriot Financial Group Insurance Agency LLC now owns 123,460 shares of the company's stock valued at $1,733,000 after purchasing an additional 63,331 shares during the period. Finally, Spear Advisors LLC purchased a new stake in shares of Rigetti Computing in the fourth quarter valued at about $2,062,000. Institutional investors and hedge funds own 35.38% of the company's stock.

Rigetti Computing Company Profile

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 contact@marketbeat.com.