Shares of Rigetti Computing (RGTI) have plummeted 19% since the start of 2026, reflecting waning investor interest in quantum computing amid broader market distractions, particularly the geopolitical crisis in Iran. The stock, which reached an all-time high of $56 in late 2025, faces challenges despite the company’s unique business model focused on quantum infrastructure. While advancements in the industry, including Google’s breakthrough quantum chip, initially fueled optimism, Rigetti’s operational performance has faltered, with fourth-quarter revenues dropping 18% year-over-year to just $1.9 million.
The company’s substantial R&D expenditures, totaling $17.3 million in the same quarter, underscore its struggle to translate technological promise into financial viability. With operating losses ballooning to $18.5 million, Rigetti’s path to profitability appears distant, raising concerns about future equity dilution as cash reserves dwindle.
Investors eyeing quantum computing may want to consider more diversified options like Alphabet, which can better absorb the risks associated with this nascent technology, rather than betting on Rigetti’s uncertain trajectory.
Source: fool.com