Rigetti Computing, Inc.

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Slightly Bullish +25

Why Is Rigetti Computing (RGTI) Up 3.3% Since Last Earnings Report? - Yahoo Finance Australia

📈 Rigetti shares gained 3.3% since the last earnings report, outperforming the S&P 500.

💰 Q1 2026 revenues surged 198.9% year-over-year to $4.4 million, driven by Novera system sales and Cepheus-1-108Q cloud rollout.

📉 Adjusted loss per share narrowed to 4 cents, beating Zacks Consensus Estimate by 20%.

💵 Gross margin expanded 130 basis points to 31.3%, with gross profit jumping 211.8% to $1.4 million.

🔬 R&D expenses increased 29.1% year-over-year to $19.9 million as the company scales quantum operations.

💸 Cash and equivalents stood at $418.2 million with zero debt on the balance sheet.

📊 Operating loss widened to $25.9 million due to increased SG&A and R&D spending.

🏦 Analysts issued no estimate revisions in the last two months, leaving consensus unchanged.

📉 Zacks Investment Research maintains a Rank #4 (Sell) rating citing low value scores.

🚀 Commercial rollout of 108-qubit Cepheus-1-108Q system supported top-line growth across cloud platforms.

Bullish Signals
  • Revenue grew 198.9% year-over-year to $4.4 million, significantly surpassing analyst consensus estimates by 35.6%.
  • Adjusted loss per share narrowed to 4 cents from 8 cents in the prior-year quarter, beating expectations by 20%.
  • Gross margin expanded 130 basis points to 31.3%, with gross profit increasing 211.8% year-over-year.
  • The company maintains a robust balance sheet with $418.2 million in cash and no outstanding debt.
  • Successful commercial rollout of the 108-qubit Cepheus-1-108Q system across major cloud platforms drove adoption.
Risk Factors
  • Operating loss widened to $25.9 million from $21.6 million in the prior-year quarter due to rising expenses.
  • Selling, general and administrative expenses increased 11.4% year-over-year to $7.4 million.
  • Zacks Investment Research assigns a Rank #4 (Sell) rating, expecting below-average returns in the near term.
  • The stock is rated F on value metrics, placing it in the lowest quintile for value investors.
Full Analysis
Rigetti Computing (RGTI) shares have risen 3.3% since its last earnings report, outperforming the S&P 500. The company reported first-quarter 2026 results showing significant growth in revenue and profitability metrics. Adjusted loss per share narrowed to 4 cents from 8 cents a year ago, surpassing analyst estimates by 20%. GAAP loss was 6 cents compared to 13 cents in the prior-year quarter. Total revenues reached $4.4 million, representing a 198.9% year-over-year increase and beating consensus estimates by 35.6%. This growth was driven by sales of on-premises Novera quantum systems and the commercial rollout of its 108-qubit Cepheus-1-108Q system across major cloud platforms. Gross profit improved 211.8% to $1.4 million, expanding the gross margin to 31.3%. Operating expenses increased 23.8% year over year to $27.3 million, with R&D rising 29.1% to $19.9 million. Despite higher operating loss of $25.9 million compared to $21.6 million previously, the company maintained a strong balance sheet with $418.2 million in cash and no debt. Analysts remain quiet with no recent estimate revisions, though Zacks maintains a Sell rating due to low value scores.