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Rigetti Shares Drop After Q4 Revenue Miss as Analysts Trim Targets

The miss refocused attention on 99.9% two‑qubit fidelity, a strengthening contract pipeline, a cash runway near $590 million.

Overview

  • Rigetti posted Q4 revenue of $1.87 million, down 17.6% year over year and below roughly $2.33 million expected, with an adjusted loss of $0.03 per share in line with estimates.
  • Shares fell about 9% on Thursday following the results.
  • The company reported 99.9% two‑qubit gate fidelity at 28 nanoseconds using an adiabatic CZ method, which it says could be 3–5 times faster than competing approaches.
  • Management flagged a March‑quarter revenue step‑up from about $5.7 million in Novera system sales recognition and reiterated an end‑of‑March deployment target for its 108‑qubit system, with additional deliveries into 2026 including an ~$8.4 million CDAC order.
  • Mizuho cut its price target to $43 while keeping a Buy rating and Jefferies set a $20 target with a Hold rating, as Rigetti ended the year with about $589.8 million in cash and investments.