Better Quantum Computing Stock: Rigetti Computing vs. D-Wave Quantum - AOL.com
Summarize this article with:
Johnny Rice, The Motley FoolMon, March 2, 2026 at 7:20 AM UTC0Key PointsRigetti's gate-based approach offers more long-term upside, while D-Wave's hybrid systems generate steadier near-term revenue.D-Wave has the edge on survival metrics, with a larger cash position and an equivalent operating loss.But Alphabet offers quantum exposure without the existential risk, backed by a business that can fund R&D indefinitely.10 stocks we like better than Rigetti Computing ›Rigetti Computing (NASDAQ: RGTI) and D-Wave Quantum (NYSE: QBTS) are two of the most popular pure-play quantum computing stocks on the market. Which one has the edge in the race to bring this revolutionary technology to market?Rigetti and D-Wave are taking very different approachesWithout getting too technical -- there is a lot of industry jargon -- Rigetti builds quantum computing systems and sells access to them. The company is still very much in research-and-development mode, and its income tends to be very "lumpy" -- that is, it varies greatly quarter to quarter.Will AI create the world's first trillionaire? Our team just released a report on the one little-known company, called an "Indispensable Monopoly" providing the critical technology Nvidia and Intel both need. Continue »The inside of a data center. Image source: Getty Images.D-Wave has chosen to commercialize sooner, offering access to "hybrid" systems that combine quantum and classical computing. It has somewhat steadier income because of that, though that's all relative in this industry.I'd give the edge to Rigetti in this respect. Its approach is generally considered to have more upside and greater long-term potential. That's why most investors are interested in quantum in the first place.The numbers: Rigetti vs. D-WaveAll that is nice, but what are the actual numbers? Let's compare some key figures:Company NameRevenue (TTM)Free Cash Flow (TTM)Cash and EquivalentsRigetti Computing$7.5 Million($67.6 Million)$447.0 MillionD-Wave Quantum$24.1 Million($54.8 Million)$836.2 MillionI'd have to give the edge here to D-Wave, not for its higher sales, but for the fact that the company has a longer runway before it has to raise more cash, at least as it stands today. What really matters at this point is how long these companies can survive without diluting their shareholders further than they already have.The timeline problem for quantum computingAnd that's the key. Quantum computing -- the real commercial kind that delivers significant value -- could be much further off than those in the industry hope. While some bulls think it's just a few years off, there's plenty of reason to believe it will be much longer.Morningstar's analysis puts early quantum commercialization at five to 10 years away, while general-use quantum computing -- what we're after -- is likely 20 years out.AdvertisementAt current burn rates -- which are likely to grow significantly as the technology matures and the companies prepare to scale -- neither can fund that runway without repeatedly selling more shares, diluting existing investors along the way.A smarter way to invest in quantum computingIn my view, neither company is worth investing in at this point -- not when they carry multi-billion dollar market capitalizations. There is far too much uncertainty to justify those valuations.If you want quantum exposure, I would look outside of the pure plays to Alphabet. The company offers arguably the most advanced quantum research program there is. It has the resources to fund quantum R&D indefinitely while Rigetti and D-Wave fight to survive.Should you buy stock in Rigetti Computing right now?Before you buy stock in Rigetti Computing, consider this:The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Rigetti Computing wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $519,015!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,086,211!*Now, it’s worth noting Stock Advisor’s total average return is 941% — a market-crushing outperformance compared to 194% for the S&P 500. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors.See the 10 stocks »*Stock Advisor returns as of March 2, 2026. Johnny Rice has no position in any of the stocks mentioned.
The Motley Fool has positions in and recommends Alphabet.
The Motley Fool has a disclosure policy.EntertainmentEntertainmentUSA TODAYBest moments from SAG Actor Awards, from Harrison Ford to Michael J. FoxEntertainmentEntertainment WeeklyActor Awards 'In Memoriam' omits Hulk Hogan, stars of 'The Sopranos,' 'The Walking De…FoodFoodAllrecipesThe secret to the best fried chicken, according to a Southern chefFoodAllrecipesMartha Stewart's 4-ingredient 'lazy girl' pasta makes her more relatable than everLighter SideLighter SidePeopleWalmart worker surprises customer by paying for her ‘end of chemo’ cakeLighter SideAssociated PressPeople line up for ice cream treats every March 1 at this Minnesota DQ. Why? It's tra…NewsNewsABC NewsIran live updates: 'We will not negotiate with the United States': Iranian officialNewsAssociated PressWar widens to include Iranian-backed militias as Israeli and American planes pound Ir…SportsSportsYahoo SportsIn a NASCAR built for parity, Tyler Reddick has started 2026 with an unprecedented wi…SportsField Level MediaColorado QB Dominiq Ponder, 23, dies in car accidentWeatherWeatherFox WeatherFirst of three storms spreads snow across Northern Tier, targets Midwest and Northeas…WeatherUSA TODAYThese springtime dangers can sneak up on you