Rigetti Computing, which specializes in quantum computing, offers an intriguing investment proposition, though it comes with both significant risks and potential. The company's business model centers around providing quantum computing as a service through cloud-based quantum processors, positioning itself as a key player in the quantum tech industry. Despite recent market challenges, Rigetti's focus on quantum cloud infrastructure (like the Ankaa-2 chip and Novera platform) aligns with growing interest in quantum technologies.
Investment in Rigetti is considered speculative but could be rewarding if the company succeeds in leading the future of quantum computing. Its valuation has fluctuated significantly, reflecting market volatility, with the stock trading under $2 as of recent updates.
As for future growth, Rigetti's ability to commercialize quantum technology and attract institutional investments, such as the involvement of firms like Vanguard Group, suggests that there is confidence in its long-term potential. However, profitability remains a concern with negative operating and profit margins. Investors should weigh the potential for significant innovation in quantum computing against the ongoing risks tied to the company’s market performance and technological advancements.
To assess whether it's an appropriate investment, careful consideration of Rigetti's financial health and its ability to continue advancing in a highly competitive field of quantum computing is necessary.
Rigetti Computing's current investment value is quite interesting. As of today, the stock price is $1.41 USD ¹. However, according to the Discounted Cash Flows (Growth Exit 5Y) model, the intrinsic value of Rigetti Computing Inc is estimated to be around ($4.00) USD, indicating a potential upside of -383.70% ¹. This suggests that the company's current market value may not reflect its true potential.
Here are some key valuation metrics to consider:
- Market Capitalization: $269.65 million
- Beta: 2.57
- Outstanding Shares: 191.24 million
- Enterprise Value: $265.37 million
It's also worth noting that different valuation models yield varying results. For instance, the DCF (Growth 10y) model estimates an intrinsic value range of ($3.12) - ($5.29) USD, while the DDM - Stable model estimates ($2.50) - ($6.30) USD.
Keep in mind that these estimates and valuations are subject to change and may not reflect the company's actual performance. If you're considering investing in Rigetti Computing, it's essential to do your own research, consult with financial experts, and stay up-to-date on market trends.
About RGTI
Rigetti Computing, Inc. is a full-stack quantum computing company. The Company operates quantum computers over the cloud and serves global enterprise, government, and research clients through its Rigetti Quantum Cloud Services platform. The Company's quantum-classical infrastructure provides high performance integration with public and private clouds for practical quantum computing. It has developed a multi-chip quantum processor for scalable quantum computing systems. Through the Company’s Quantum Computing as a Service (QCaaS) platform, its machines can be integrated into any public, private or hybrid cloud. It is also engaged in the sale of quantum processing units (QPUs) and custom computing components, and development contracts and other services. Its QPUs contain fabricated silicon-based chips featuring superconducting qubits. The Company designs and manufactures its chips in-house at Fab-1, an integrated quantum device manufacturing facility.
More About RGTI
- RGTI: Why is Rigetti Computing worth of investing?
- RGTI: What are the competitive advantages and disadvantages of Rigetti over its competitors?
- RGTI: How does Rigetti Computing make profit?
- RGTI: What motivates the founders of Rigetti Computing, and what's their vision for the company?
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