Rigetti Computing Stock Rises After Decline On Q4 Revenue Miss: What's Going On?

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Rigetti Computing shares rose after initially falling due to a Q4 revenue miss, with the company reporting $2.3 million in revenue.
A new $100 million collaboration with Quanta Computer, including a $35 million equity investment, boosted investor sentiment.
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Rigetti Computing, Inc. RGTI shares are trading higher Thursday after falling Wednesday following a fourth-quarter revenue miss.

What To Know: Rigetti reported fourth-quarter revenue of $2.3 million, falling short of analyst expectations of $2.5 million, according to Benzinga Pro. The company's adjusted loss per share came in at 8 cents, matching analyst estimates.

Following the quarter's end, Rigetti entered an agreement with Quanta Computer, a Taiwan-based company known for its leadership in computer server manufacturing. Both companies plan to invest over $100 million each over the next five years as part of the collaboration. Quanta will also invest $35 million directly into Rigetti common shares.

Rigetti CEO Dr. Subodh Kulkarni said the collaboration is intended to strengthen both companies' positions in the growing quantum computing market. The partnership aims to leverage their combined expertise to advance quantum computing technology.

The company also highlighted the December 2024 launch of its 84-qubit Ankaa-3 system. This system is now accessible to Rigetti's partners through its Quantum Cloud Services platform and is available to the public through Amazon Bracket and Microsoft Azure.

RGTI Price Action: Rigetti shares were up 4% at $8.51 at the time of writing, according to Benzinga pro.