Quantum computing company Rigetti Computing (RGTI) caught the interest of investors after Alliance Global Partners analyst Brian Kinstlinger, a four-star analyst according to Tipranks’ ratings, praised it. Kinstlinger increased his price target for RGTI stock from $3.50 to $5.50, representing a potential 82.12% upside for the shares. Traders will also note that the analyst is bullish on RGTI stock with a Buy rating.
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Kinstlinger increased his price target for Rigetti Computing after completing a $100 million at-the-market offering. This offering attracted new investors, causing RGTI shares to rally over the last few days. The stock reached a new one-year high of $3.05 per share last week.
RGTI Stock Over the Long Term
Kinstlinger’s stance on Rigetti Computing includes arguments that the company is a safe investment over the next five years due to its new funding. The argument is compelling, with shares of RGTI rising 160.34% over the past 12 months. So long as it hasn’t peaked early, investors could likely still squeeze more gains out of the stock.
Interestingly, RGTI experienced its recent rise despite lackluster earnings results over the last few quarters. That includes EPS regularly missing Wall Street’s estimates. Even so, the company is making headway in its effort to turn a profit. For example, its Q3 2024 earnings report included EPS of -$0.08, compared to Wall Street’s estimate of -$0.07. While still a miss, this is a major improvement over the -$0.17 versus analysts’ -$0.10 estimates from the same period of the year prior.
Kinstlinger concludes his bullish coverage of Rigetti Computing by arguing that the company is “in a leadership position in the development of a gate-based QPU that demonstrates quantum advantage.”
Should Investors Buy RGTI Stock?
Turning to Wall Street, the analysts’ consensus rating for Rigetti Computing is Strong Buy based on five Buy ratings over the last three months. That comes with an average price target of $3.50, a high of $5.50, and a low of $2. This represents a potential upside of 15.89% for RGTI shares.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
