Rigetti Computing Stock Plunged 42% Last Month. Here's Why.

By Anders Bylund – Dec 3, 2025 at 7:30PMKey PointsRigetti Computing's stock plummeted 42% in November after reporting an 18% revenue decline and ballooning losses of $201 million in Q3 2025.The company's full-stack approach to quantum computing is impressive, but the technology remains years away from practical commercial advantages over traditional computers.This stock might just be "the next Aurora Cannabis," which would be an unfortunate fate.These 10 Stocks Could Mint the Next Wave of Millionaires ›NASDAQ: RGTIRigetti ComputingMarket Cap$7.9BToday's Changeangle-down(9.04%) $2.16Current Price$26.04Price as of December 3, 2025 at 4:00 PM ETRigetti's November plunge erased October's gains and then some. Is the quantum computing stock a buy in this sudden dip?Shares of quantum computing expert Rigetti Computing (RGTI +9.04%) fell 42.2% in November 2025, according to data from S&P Global Market Intelligence. The bearish timeline included a disappointing earnings report, which erased October's 48.6% gain and then some. Rigetti's stock lost 14.2% of its value across the two-month span from Sept. 30 to Nov. 29. Rigetti's Q3 report -- a quantum leap in the wrong direction The most recent linchpin of Rigetti's November retreat was found in the company's Q3 2025 report, published on Nov. 10. It was a doozy, and not in a good way. Q3 revenues fell 18% year over year, stopping at $1.95 million. Net losses multiplied from $14.8 million to $201.0 million. Free cash flows didn't exactly save the day, either. The company burned $19.7 million of cash in the quarter. The cash hit was smaller than the bottom-line earnings figure, which included a $149 million non-cash expense for derivative warrant liabilities -- a downside of skyrocketing stock prices. As of Dec. 3, including November's painful correction, Rigetti's stock still rose 729.3% over the last 52 weeks. Apart from this accounting quirk, the largest expense on Rigetti's income statement was $15.0 million of research and development (R&D) costs. Investors were hardly impressed. At this point, Rigetti still looks more like an early stage quantum computing research outfit than a serious commercial force. The company is selling a handful of systems, but the computers themselves are incredibly expensive and years away from technical advantages over old-school digital computers.Advertisement Rigetti's stock accelerated a milder downswing on the news. Three days later, the stock was down by 28.3%. ExpandNASDAQ: RGTIRigetti ComputingToday's Change(9.04%) $2.16Current Price$26.04Key Data PointsMarket Cap$8BDay's Range$23.53 - $26.2552wk Range$2.88 - $58.15Volume34MAvg Vol81MGross Margin-6849.48%Dividend YieldN/A The speculative quantum computing story feels eerily familiar Rigetti is going through some growing pains these days. Besides developing an effective business plan and promising quantum computing methods, it must deal with unreasonable investor expectations in the red-hot spotlight of Wall Street. You've seen this kind of thing before. Cannabis stocks have taken a couple of turns through this cycle, as have cryptocurrencies and electric vehicle builders. I could keep going and you would nod in recognition at each much-too-early investor furor around The Next Big Thing (registered trademark). Some of these skyrocketing phenoms eventually find their footing with a mature business plan and real financial results. Others are not so lucky. It's almost impossible in the early going to tell the future bankruptcies apart from the long-term winners. I like what Rigetti is doing in many ways. The company is developing a full stack of quantum computing hardware, software, systems, and services while its pure-play peers focus on smaller portions of that business spectrum. Its stock sales are quite dilutive for current shareholders as the share count rose 73% over the last year, but Rigetti compiled a robust cash cushion that way. With $559 million of cash equivalents and investments on its most recent balance sheet, Rigetti can afford to burn plenty of cash for years to come. Image source: Getty Images. But I can't guarantee that Rigetti will be among those long-term winners I'm looking for. It's just too early to make large-scale investments in this emerging technology.

Remember Canopy Growth and Aurora Cannabis? Less than 10 years ago, these former cannabis giants had market caps of $20 billion and $11 billion, respectively. The good times didn't last. Now they're microcaps, more than 99.5% below those lofty highs. I'm not looking for the next Aurora Cannabis or Canopy Growth opportunity in the quantum computing industry. Rigetti might turn out all right in the long run, but I'm just not sure yet. The stock may see the occasional growth spurt in the next few years but the broader price trend should be deeply negative. I'm neither buying nor shorting Rigetti's stock in this price dip. Both moves are too risky for my taste.About the AuthorAnders Bylund is a contributing Motley Fool media and technology analyst covering semiconductors, cloud computing, internet infrastructure, quantum computing, and streaming media. Previously, Anders was a systems administrator for Nielsen Technology and CSX, gaining hands-on experience with enterprise-class systems. He was also a freelance writer for Ars Technica, TIME, USA Today, CNN, WIRED, and AOL's Daily Finance. He holds a bachelor’s degree in English and a master’s degree in library and information sciences from Florida State University. He believes in coyotes and time as an abstract.TMFZahrimX@TMFZahrimRead NextNov 29, 2025 •By David Jagielski, CPARigetti Computing Posted a $201 Million Loss Last Quarter, but This Is the More Important Number for Investors to Focus OnNov 29, 2025 •By Trevor JennewinePrediction: This Stock Market Bubble Will Burst in 2026 and 3 Popular Stocks Will Crash (Hint: Not Artificial Intelligence)Nov 20, 2025 •By Robert IzquierdoBetter Quantum Computing Stock: Quantum Computing Inc. vs. Rigetti ComputingNov 19, 2025 •By Rich SmithAll It Takes Is $2,500 Invested in This Quantum StockNov 19, 2025 •By Adam Spatacco1 Popular Quantum Computing Stock to Sell Before It Falls 20%, According to a Wall Street AnalystNov 19, 2025 •By Keith SpeightsWhy Rigetti's Revenue Miss Doesn't Matter, and the $600 Million Cash Pile Does