Why Rigetti Computing Stock Just Popped
2026-07-27 16:30
•Rich Smith •The Motley Fool
• ••••••• Axe Capital view
Quantum Leap or Quantum Mirage?
Rigetti’s recent jump looks exciting, but South African investors should temper expectations given quantum computing’s distant payoff.
Rigetti Computing’s 7.7% rise on news of a peer’s tie-up with AT&T and a bullish analyst report is eye-catching. Yet, quantum computing remains in early innings, with profits likely 5+ years out. For South African investors, this is more a tech curiosity than a clear opportunity. The rand (USD/ZAR) might see minor moves if global tech risk appetite shifts, but no JSE stock mirrors this nascent sector closely. Larger, tangible tech plays like Naspers or Prosus still dominate meaningful exposure to innovation with clearer paths to earnings. Speculating on Rigetti or similar foreign quantum names is tempting, but patience and strict position limits are key. The market loves to hype new tech, yet the commercial reality takes time. This could all reverse if breakthroughs or commercial wins come faster than expected, but for now, consider this a watch area only. this is just my opinion and not financial advice
I would watch Rigetti from the sidelines and avoid significant exposure until clearer commercial wins emerge. Focus instead on established tech-related JSE names like Naspers or Prosus for innovation exposure.
- USD/ZAR
- Naspers
- Quantum computing commercialization delays
- Global tech sector sentiment shifts impacting USD/ZAR and SA tech stocks
5/10
Rigetti Computing stock jumped 7.7% after competitor D-Wave Quantum announced a partnership with AT&T to use its quantum computing technology. Additionally, Benchmark analyst David Williams initiated coverage of Rigetti with a buy rating and $25 price target, suggesting 67% upside potential. However, analysts caution that quantum computing profits remain years away and recommend a portfolio approach to the sector.
This article was originally published by The Motley Fool and has been adapted here for Axe Capital Trading News.
Publisher: The Motley Fool
Author: Rich Smith
Categories: Equities
Tickers: RGTI, RGTIW, QBTS, T, TBB, TPA, TPC
Sentiment: Positive - Stock gained 7.7% on positive sector momentum from competitor's AT&T deal, plus new buy rating from Benchmark analyst with $25 price target implying 67% upside. However, sentiment is tempered by acknowledgment that profitability remains 5+ years away. Announced AT&T partnership to use its annealing quantum computing technology for network optimization, driving stock up 16.29%. This represents significant commercial validation and real-world application of its technology.
Keywords: quantum computing, Rigetti Computing, D-Wave Quantum, AT&T partnership, analyst coverage, stock gains, technology sector
Insights:
- RGTI: Positive: Stock gained 7.7% on positive sector momentum from competitor's AT&T deal, plus new buy rating from Benchmark analyst with $25 price target implying 67% upside. However, sentiment is tempered by acknowledgment that profitability remains 5+ years away.
- RGTIW: Positive: Stock gained 7.7% on positive sector momentum from competitor's AT&T deal, plus new buy rating from Benchmark analyst with $25 price target implying 67% upside. However, sentiment is tempered by acknowledgment that profitability remains 5+ years away.
- QBTS: Positive: Announced AT&T partnership to use its annealing quantum computing technology for network optimization, driving stock up 16.29%. This represents significant commercial validation and real-world application of its technology.