Yesterday, as you have probably heard, The Wall Street Journal reported on a Trump administration plan to give $2 billion to nine quantum computing companies… Rigetti Computing (NASDAQ:RGTI) among them, and in exchange for acquiring state participations in the companies. Rigetti shares started moving one day before the announcement was made, then it spiked yesterday and rose again today.
Up 18% as of 10:55 a.m. Friday morning, Rigetti stock has gained a staggering 63% in just three trading days, leaving investors wondering: Is there any price too high to pay for these quantum computing stocks?
Will AI create the world’s first billionaire? Our team just published a report on a little-known company called “Indispensable Monopoly” that provides critical technology that both Nvidia and Intel need. Continue “
And now it’s official
Shortly after WSJ broke the story, the US Department of Commerce confirmed that not only plan grant subsidies, but in reality it has already signed letters of intent to do so.
Operating under the CHIPS and Science Act, Commerce will “support and accelerate critical research and manufacturing of technologies for the quantum ecosystem to ensure the continued leadership and national security of the United States.” Two quantum foundries, Global Foundries (NASDAQ:GFS) and International business machines (NYSE: IBM)will receive $375 million and $1 billion, respectively.
Rigetti and five other companies will receive $100 million each, and the ninth company will receive $38 million. Each of the seven non-foundry grantees will focus on specific technologies needed to build quantum computers. Rigetti, in particular, will focus on miniaturization and cryostat devices to maintain extremely low temperatures.
What does this mean for Rigetti stock?
The question now is how much good even this money can do for Rigetti, which is burning through more than $80 million a year. Even if Rigetti gets all of the “up to $100 million” allotted to him, this adds only about 15 months to his useful life.
Rigetti is not out of the woods yet.
Should You Buy Rigetti Computing Stock Right Now?
Before you buy shares in Rigetti Computing, consider this:
He Varied and Dumb Stock Advisor The analyst team has just identified what they believe are the 10 best stocks for investors to buy now… and Rigetti Computing was not one of them. The 10 stocks that made the cut could produce monster returns in the coming years.
Consider when netflix made this list on December 17, 2004… if you invested $1,000 at the time of our recommendation, you would have $481,589!* Or when NVIDIA made this list on April 15, 2005… if you invested $1,000 at the time of our recommendation, you would have $1,345,714!*