Rigetti Computing Shares Fall 9% as Analysts Cut Price Targets Following Q4 Revenue Review
Rigetti Computing shares dropped approximately 9% after analysts lowered price targets due to softer-than-expected fourth-quarter revenue. Analysts noted stronger future activity linked to the sales of Novera quantum processing systems, with deliveries planned for 2026, including an installation in Japan. Jefferies reduced its price target from $30 to $20, while Needham cut its target from $51 to $31, highlighting valuation pressure in the quantum computing sector despite expected revenue growth in fiscal 2026.
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Rigetti Computing's stock fell about 9% after analysts adjusted their price targets following the company's fourth-quarter results, which showed revenue below expectations. Management anticipates increased activity related to Novera quantum processing systems, with multiple deliveries set for 2026, including on-premise installations and a shipment to Japan planned for April.
Revenue from these sales is expected in the second quarter. The company aims to deploy a 108-qubit quantum system by the end of March, with potential expansion to over 150 qubits by 2026 and 1,000 qubits by 2027. Jefferies and Needham both lowered their price targets, reflecting valuation concerns in the quantum computing industry.
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