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Why is Rigetti Computing, Inc. stock underperforming the market?

TradeStation’s AI model follows key stock trends for you based on market performance and news.

Rigetti Computing (NASDAQ: RGTI) has received mixed reviews from financial analysts, with six analysts providing ratings over the past three months. The average 12-month price target is $5.42, with estimates ranging from a low of $2.00 to a high of $12.00. Notably, Craig Ellis from B. Riley Securities increased his price target to $8.50 from $4.00, and Richard Shannon from Craig-Hallum issued a buy rating with a $12.00 price target. These ratings reflect both optimism and caution regarding Rigetti's market potential. Despite some positive analyst sentiments, Rigetti Computing is facing significant financial challenges. The company reported a revenue growth decline of approximately -23.41% over the past three months as of September 30, 2024. Its net margin is at a concerning -623.76%, indicating severe issues with cost management and profitability. Additionally, Rigetti's return on equity (ROE) and return on assets (ROA) are below industry standards, with an ROE of -12.11% and an ROA of -9.28%, highlighting inefficiencies in utilizing equity and assets. These financial difficulties may impact Rigetti's market performance despite some optimistic projections from analysts.

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Recent news for RGTI

Bill Gates Says Nvidia's Jensen Huang 'Could Be Wrong' About Quantum Computing: QUBT, RGTI, IONQ React In Tuesday Premarket

Bill Gates said that it could take 3-5 years to develop logical quantum computing qubits while adding that the timeline could be longer.

Benzinga Bulls And Bears: Nvidia, Palantir, Rigetti Computing And Shiba Inu Hints At Major Partnership

Benzinga examined the prospects for many investors’ favorite stocks over the last week — here’s a look at some of our top stories. The Nasdaq ended the week down 1.6%, with the S&P 500 losing 1% and the Dow gaining 0.3%, as markets attempted to recover from earlier losses.

About RGTI:

Rigetti Computing Inc is engaged in the business of full-stack quantum computing. Its proprietary quantum-classical infrastructure provides ultra-low latency integration with public and private clouds for high-performance practical quantum...Read more

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    Options trading is not suitable for all investors. Your TradeStation Securities’ account application to trade options will be considered and approved or disapproved based on all relevant factors, including your trading experience. See www.TradeStation.com/DisclosureOptions. Visit www.TradeStation.com/Pricing for full details on the costs and fees associated with options.

    Security futures are not suitable for all investors. To obtain a copy of the security futures risk disclosure statement visit www.TradeStation.com/DisclosureFutures.

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