Rigetti: Still Overvalued But Fundamentals Have Improved (Rating Upgrade)
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Melissa Tucker1.17K FollowersFollow5ShareSavePlay(7min)CommentsSummaryRigetti Computing (RGTI) is upgraded to a sell from strong sell as contract momentum improves, despite continued product delays and high valuation.RGTI’s 108-qubit system milestone appears delayed again, casting doubt on the December 2026 150-qubit system timeline.2026 revenue is expected to exceed 2025 due to two major contracts, but the current $4.6B valuation remains difficult to justify.My updated fair value for RGTI is $8 per share, reflecting sector multiple compression and persistent execution risks. Peshkova/iStock via Getty Images I have covered Rigetti Computing (RGTI) before, where I outlined the company’s background in detail, explained why I didn’t understand all the excitement about the company, and why I did consider it a strong sell. SinceThis article was written byMelissa Tucker1.17K FollowersFollowWith a professional background spanning multiple industries, from logistics, construction to retail, I bring a diverse perspective to investing. My international education and career experiences have provided me with a global outlook and the ability to analyze market dynamics from different cultural and economic perspectives. I have been actively investing for over a decade, honing a strategy that focuses on cyclical industries while maintaining a diversified portfolio that includes bonds, commodities, and forex. My interest in cyclical sectors stems from their potential for significant returns during periods of economic recovery and growth. However, I also recognize the importance of balancing risk, which is why I incorporate fixed-income investments (long or short).Analyst’s Disclosure: I/we have a beneficial long position in the shares of INFQ, IONQ either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article. Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.