Instead of looking for the “next” artificial intelligence (AI) stock, some traders are turning to quantum computing stocks for big price moves. Among the best-known publicly listed quantum computing firms is Rigetti Computing (NASDAQ:RGTI), and its stock is trending right now.
There’s even talk that AI technology king NVIDIA (NASDAQ:NVDA) is getting involved in the quantum computing field. So, you may be ready to hit the “buy” button and load up on RGTI shares — but not so fast. As we’ll see, the market may have already priced in Rigetti’s future growth and, unfortunately, there could be a downturn in the near future.
Is the Bubble Already Bursting?
You might have heard that AI stocks are in a bubble, but what about quantum computing stocks? Taking a look at Rigetti stock, we can detect the signs of a share-price bubble that’s bursting before the technology has even had time to mature.
I suspect that some traders missed out on the swift rise of AI stocks like NVIDIA stock, so they’re seeking a second chance. They’re hoping to get another ground-floor opportunity with quantum computing stocks such as RGTI.
If you had to find a textbook example of a bubble bursting, this is what it would look like. In just the past 12 months, Rigetti stock has moved from $1.25 to $58, only to turn around recently and head back into the $30s.
Don’t get the wrong idea. Quantum computing will undoubtedly have important applications, and Rigetti will make strides in building ultra-powerful computers. As the company disclosed in its most recent quarterly financial press release, Rigetti “expects to deploy a 150+ qubit system by or around the end of 2026.”
Moreover, Rigetti has a tie-in with the almighty NVIDIA. Indeed, Rigetti CEO Subodh Kulkarni and his team are “excited to support NVIDIA NVQLink,” which is NVIDIA’s “new open platform for AI supercomputer-quantum integration.”
Investors might not share Kulkarni’s excitement, though. In a mad dash to be first and fastest, stock traders gobbled up RGTI shares earlier this year; in recent weeks, however, they may be experiencing buyer’s remorse.
Rigetti’s Revenue Shortfall
Even after a recent price pullback, Rigetti stock is still up by hundreds of percentage point over the past 12 months. To justify this, investors will surely want to see Rigetti turn its quantum computing dreams into robust revenue and profits.
There are no profits to speak of yet, but Rigetti did generate revenue totaling $1.947 million in 2025’s third quarter. That might sound impressive until we learn that Rigetti reported revenue of $2.378 million in the year-earlier quarter.
Making matters worse, Rigetti’s Q3 2025 revenue result fell short of the analysts’ consensus estimate of $2.71 million. That’s the average expectation of seven established analysts, and Rigetti’s sales miss is problematic as RGTI stock has lots of room to fall.
A Questionable Earnings Beat
Meanwhile, Rigetti declared an adjusted (non-GAAP) net loss of $0.03 per share for this year’s third quarter. Again, the company remains unprofitable, but at least Rigetti beat the analysts’ consensus estimate of a $0.04 per-share net loss.
That’s all well and good, but what if we choose to use GAAP measurements? In that case, we’d find that Rigetti posted a Q3 2025 GAAP net loss of $0.62 per share. Now, the financial picture isn’t looking as bright and the earnings “beat” seems less meaningful.
For what it’s worth, it doesn’t appear that Rigetti’s capital runway will run out soon. As of November 6, the company had cash, cash equivalents, and available-for-sale investments totaling roughly $600 million.
On the other hand, Rigetti “plans to open an Italian subsidiary in the coming months,” and this will probably involve substantial capital outlays. It’s risky to expand an unprofitable business venture, but that’s exactly what Rigetti is doing.
No Need to Be Hasty With RGTI Stock
The highly efficient stock market may have already priced in the assumption that quantum computing generally, and Rigetti in particular, will eventually generate vast profits. Now, Rigetti and other quantum computing leaders need to prove that this field isn’t in a bubble.
That’s not an easy task, and Rigetti’s third-quarter 2025 financial results weren’t particularly reassuring. Therefore, instead of making a hasty stock purchase you might soon regret, consider watching and waiting as RGTI is still high-priced and may soon trade at a deep discount.
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