D-Wave stock rises, Rigetti shares fall as quantum company earnings divide investors
D-Wave (QBTS) and Rigetti (RGTI) reported Q3 earnings. D-Wave's revenue rose 21% YoY to $4.5M, but missed EPS estimates. Rigetti's revenue missed estimates at $1.4M. D-Wave shares rose 2%, Rigetti fell 4%. Both stocks are down significantly YTD.
How this was made
The 30-second read
Why it matters
Rigetti's earnings miss may trigger short-term sell pressure, while D-Wave's revenue growth could support its stock.
Market read
Earnings-driven price moves in niche quantum sector; primary impact on Rigetti shares.
What to watch
Potential upcoming CHIPS Act funding milestones may mitigate short-term pain if milestones are met.
Background
Quantum computing firms released Q3 results, highlighting divergent performance and ongoing CHIPS Act funding milestones.
Ticker impact
Rigetti reported an adjusted loss of $0.06 per share and revenue of $1.4M, missing estimates, causing shares to fall over 4% in early trading.
likely pressure as the market prices in the earnings miss and weak revenue
The miss versus consensus and the sizable share decline indicate immediate negative sentiment.
Market effects
Quantum computing sector shows mixed results, with D-Wave revenue growth offset by Rigetti's miss, suggesting divergent performance among peers.
U.S. tech-focused investors may adjust exposure to quantum stocks.
Limited to niche quantum computing investors; broader market impact minimal.
Counterpoint
Despite the miss, Rigetti's long-term R&D pipeline could attract value investors betting on future breakthroughs.
Key entities
- companyRigetti Computing
Quantum computing firm listed on Nasdaq (RGTI) reporting Q3 earnings miss.
