RGTI Earnings - Quantum Stock True Test ?
Hot on the heels of $D-Wave Quantum Inc.(QBTS)$ Q2 earnings report, comes $Rigetti Computing(RGTI)$ . Click here ! for QBTS’s quarterly earnings details, pls Repost so more will know ok. Thanks.
On 12 Aug 2025, RGTI handed up its 2nd quarter report card and it is not quite what Wall Street expected.
Q2 Earnings.
For the June quarter:
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Loss per share: came to -$0.06 vs analyst estimate of $-0.05 vs Q2 2024’s -$0.07, that’s a +14.3% YoY improvement. (see below)
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Revenue: was $1.8 million vs consensus estimates of $1.87 million vs Q2 2024’s $3.1 million, that’s a -41.7% decline. (see below)
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** Note: RGTI has explained that revenue decline was primarily due to expiration of the National Quantum Initiative (NQI) and is pending reauthorization by US Congress.
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As a result, it impacted sales to both US and foreign governments.
Other Earning Items:
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Total operating expenses for Q2 2025 was $20.4 million vs Q2 2024’s $18.1 million; that’s a +12.7% YoY increase in RGTI expenditure.
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Net loss: was $39.7 million vs Q2 2024’s $12.4 million; that’s a +220.2% YoY increase.
Despite weak financials, the company’s cash position remains strong and it continues to make strong progress in the quantum computing space.
Technical Achievements.
Unlike QBTS that provided a list of Q2 accomplishment, RGTI managed to release the followings to the media:
(1) Cepheus-1-36Q.
On Tue, 12 Aug 2025, RGTI announced the general availability of its Cepheus-1-36Q system, which is touted as "the industry’s largest multi-chip quantum computer."
The system features four chiplets and has achieved a median 2-qubit gate fidelity of 99.5%, representing a 2x reduction in error rate compare to its previous system - Ankaa-3.
RGTI, CEO, Dr. Subodh Kulkarni remarked:
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"We continue to achieve our ambitious roadmap goals, most recently by demonstrating the industry’s largest multi-chip quantum computer with impressive performance.
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Our industry-leading proprietary chiplet approach to scaling and strong financial position makes us confident in hitting our end-of-year technology goals.
(2) Strategic Partnership.
Rigetti has entered into a strategic collaboration with Quanta, combining its’s hardware manufacturing expertise with Rigetti’s superconducting quantum computing capabilities.
As announced in Q1 2025, the two companies are committed to jointly investing over $100 million in superconducting quantum computing technologies over the next 5 years.
What Else ?
RGTI “IPO” on US exchange on 02 Mar 2022 via SPAC merger with Supernova Partners Acquisition Company II, Ltd. (NYSE: SNII).
Interestingly, this is common practice among quantum computing startups listing in the US.
(1) Insiders’ Trading.
New startups’ burn rate is usually “high” in their early years.
However one could “tell” if a company C-suite’s confidence (in the company) by whether they choose to buy or sell into / out of the company.
Last 6 months - purchases or sales:
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Subodh K. Kulkarni (President & CEO) sold 1,000,000 shares for an estimated $12,004,400
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David Rivas (CTO) made 0 purchases and 3 sales selling 671,600 shares for an estimated $5,772,340.
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Jeffrey A. Bertelsen (CFO) has made 0 purchases and 3 sales selling 231,250 shares for an estimated $2,696,334.
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Michael S. Clifton (ex-CFO & Director) has made 0 purchases and 4 sales selling 125,000 shares for an estimated $1,688,000.
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Cathy L. McCarthy sold 150,000 shares for an estimated $1,200,240
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Ray O. Johnson sold 40,420 shares for an estimated $606,300
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Helene Gail Sandford sold 47,648 shares for an estimated $532,952.
(2) Hedge Funds’ Activities.
Apart from internal staff’s buying and selling, another important consideration is institutions’ activities.
Their buyings benefits a US-listed stock by signaling smart, well-researched money flows, that often leads to price gains and attracts further investor confidence.
Below are the latest from RGTI:
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Vanguard Group Inc added 8,640,470 shares (+60.9%) to their portfolio in Q2 2025, for an estimated $102,475,974
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BlackRock Inc. added 5,974,666 shares (+39.4%) to their portfolio in Q2 2025, for an estimated $70,859,538
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Invesco Ltd removed 4,472,199 shares (-97.6%) from their portfolio in Q1 2025, for an estimated $35,419,816
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American Assets Investment Management added 3,746,149 shares (+inf%) to their portfolio in Q2 2025, for an estimated $44,429,327
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State Street Corp. added 3,577,137 shares (+82.6%) to their portfolio in Q1 2025, for an estimated $28,330,925
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$Morgan Stanley(MS)$ added 2,132,120 shares (+123.9%) to their portfolio in Q1 2025, for an estimated $16,886,390
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Voloridge Investment Management llc added 1,936,289 shares (+inf%) to their portfolio in Q1 2025, for an estimated $15,335,408
(3) Analysts’ Ratings.
The 3rd factor to assess a newly startup would be Wall Street’s veterans rating on it.
Here’s below are of Wall Street bigwigs opinion on RGTI before earnings were announced:
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On 13 Aug 2025, Needham reiterated a Buy rating with an $18.00 price target. They cited progress on technical milestones and the company's mid-year delivery goals for QPU development.
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On 13 Aug 2025, Benchmark raised its price target to $20.00 from $14.00 and maintained a Buy rating, highlighting strong Q2 results and chiplet progress.
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On 13 Aug 2025, Cantor Fitzgerald raised its price target to $18.00 from $15.00 with an Overweight rating, reflecting confidence in RGTI's long-term market potential.
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On 23 Jul 2025, B. Riley increased its price target to $19.00 and gave a Buy rating.
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On 16 Jul 2025, Alliance Global Partners maintained a Buy rating with an $18.00 price objective.
Stock Price Movement.
As of 13 Aug 2025
Since its quarterly earnings announcement on 12 Aug 2025, RGTI stock price has been on the rise, underpinned by a positive US market sentiments and a Wall-Street regarded “mild” CPI inflation numbers out on Tuesday morning (as well).
When it comes to “investing” in RGTI, do we take into considerations the intangibles as well as the finances OR is it strictly numbers per se ?
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Do you think RGTI’s Q2 2025 earnings are decent for a relatively new IT stock?
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Do you think RGTI’s Q3 2025 numbers will be “better” after the NQI has been renewed until CY 2035 ?
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