TLDR
- RGTI jumped nearly 11.9% after announcing TangleLab, a hybrid quantum-classical supercomputing testbed
- The project is a three-way collaboration with Hewlett Packard Enterprise and Pittsburgh Supercomputing Center
- A $5 million National Science Foundation grant funds the initiative
- Rigetti will deliver its 9-qubit Novera QPU to PSC, with full operations expected in 2027
- Q2 2026 earnings are due August 6, with Wall Street expecting ~$5.09 million in revenue
Rigetti Computing stock jumped as much as 11.9% in morning trading on Monday after the company announced a new collaboration with Hewlett Packard Enterprise and the Pittsburgh Supercomputing Center.
The project, called TangleLab, is a hybrid quantum-classical supercomputing testbed backed by a $5 million National Science Foundation grant. Rigetti stock hit a session high of $15.97 before pulling back slightly.
Under the deal, Rigetti will supply its 9-qubit Novera quantum processing unit to PSC. The QPU will be integrated with a classical high-performance computing environment. Construction is set to begin September 1, 2026, with full operations targeted for 2027.
The announcement adds to an already growing relationship between Rigetti and HPE, which expanded its quantum-HPC partnerships at its Discover 2026 conference in June.
In Q1 2026, Rigetti brought in $4.4 million in revenue while spending $19.9 million on R&D. The company currently holds $569 million in cash and short-term investments.
Earnings on the Horizon
Rigetti reports Q2 2026 results on August 6. Wall Street is projecting revenue of around $5.09 million, up sharply from $1.80 million in the same quarter a year ago.
The analyst consensus sits at a Buy rating, with an average price target of $31.60 — well above where the stock is trading now.
Despite the bullish setup, Rigetti’s path to profitability remains distant. Revenue is minimal compared to its R&D burn rate, and shareholder dilution remains a real risk as the company relies on government contracts and milestone payments to keep the lights on.
Federal Support Continues to Build
In May, Rigetti and the U.S. Department of Commerce signed a letter of intent that could unlock up to $100 million in government funding over three years. The government also plans to take an equity stake as part of the arrangement.
Rigetti also holds an $8.4 million contract with India’s Centre for Development of Advanced Computing, expected to be delivered in the second half of 2026.
Looking further out, the company has plans to deliver a U.K.-based 1,000+ qubit system within three to four years, which could serve as a major catalyst if achieved on schedule.
For context, RGTI was trading near $56 last October. It’s now around $14–$15, still well off those highs despite today’s pop.
The broader market also helped Monday’s move. The S&P 500 gained 0.7%, the Dow rose 1.1%, and the Nasdaq added 0.7%, giving quantum computing stocks a generally supportive backdrop.
Rigetti’s cloud service is also available on Microsoft Azure, though it remains in early stages and has not yet produced meaningful recurring revenue.
Stop guessing and start investing with confidence. KnockoutStocks gives you the AI insights, market intelligence, and stock research you need to spot opportunities, cut through the noise, and make smarter investment decisions — all in one powerful platform.
Sign up today and get 50% OFF full access to our premium stock picks.
Simply use coupon code SPECIAL50 at checkout to claim your exclusive discount.
Be the first to comment