Rigetti Computing RGTI Stock Surges on $100M US Government Quantum Deal Amid 2026 Growth Push

NEW YORK — Rigetti Computing Inc. shares jumped more than 30% on May 21, 2026, following the announcement of a letter of intent with the U.S. Department of Commerce for up to $100 million in funding to advance superconducting quantum computing research.

The Berkeley, California-based company, listed on Nasdaq under the ticker RGTI, develops full-stack hybrid quantum-classical computing systems. As of mid-morning trading on May 22, 2026, shares traded around $22, within a 52-week range of approximately $10.30 to $58.15.

Rigetti signed the letter of intent with the Department of Commerce under the CHIPS Act for funding over three years. The agreement includes the department receiving an equity stake in Rigetti matching the funding amount. The funds target research and development projects addressing scaling and technical challenges in superconducting quantum computers.

“We are honored that the U.S. government is seeking to partner with Rigetti to accelerate the pace of quantum computing commercialization and to bolster U.S. leadership in this revolutionary field,” Rigetti CEO Subodh Kulkarni said in the May 21 announcement. “This investment will allow us to tackle key scaling bottlenecks more rapidly and get us closer to utility-scale quantum computing.”

Q1 2026 Financial Results

Rigetti reported first-quarter 2026 revenue of $4.4 million, compared to $1.5 million in the first quarter of 2025, representing a 193% year-over-year increase. The revenue beat analyst expectations around $4.1 million and was driven primarily by on-premises Novera quantum processing unit deliveries and government and research contracts.

Gross margin for the quarter stood at 31%, compared to approximately 30% in the prior-year period. Operating loss totaled $26.0 million, versus $21.6 million in Q1 2025. Operating expenses rose to $27.3 million from $22.1 million, reflecting continued investment in research and development, engineering, fabrication and system integration.

On a GAAP basis, the company recorded net income of $33.1 million, or a diluted loss per share of $0.06, primarily due to a $53.7 million non-cash gain from the fair value adjustment of derivative warrant liabilities. On a non-GAAP basis, excluding stock-based compensation and fair value adjustments, Rigetti reported a net loss of $14.7 million, or $0.04 per diluted share.

The company ended the quarter with a strong cash position supporting its roadmap. Rigetti has highlighted progress on its 108-qubit system, with general availability noted in recent updates.

Analyst Outlook and Valuation

As of May 2026, analysts maintain a Moderate Buy consensus rating on RGTI. The average 12-month price target stands around $29 to $31, with individual targets ranging from a low of $15 to a high of $40.

For full-year 2026, analysts estimate revenue of approximately $21.3 million to $23.6 million, representing a significant increase from 2025 levels. Revenue estimates for 2027 reach around $44 million.

Technology Roadmap and Milestones

Rigetti has outlined a roadmap targeting quantum advantage in the coming years. The company achieved record quarterly revenue in Q1 2026 tied to system deliveries, including Novera QPUs. It continues development of higher-qubit systems, with plans for scalable superconducting architectures.

In January 2026, Rigetti secured an $8.4 million order from India’s Centre for Development of Advanced Computing for a 108-qubit quantum system. Earlier, in September 2025, the company announced purchase orders totaling about $5.7 million for two Novera systems, with deliveries expected in the first half of 2026.

Rigetti has pursued international expansion, including plans to invest up to $100 million in the United Kingdom for a UK-based quantum system with over 1,000 qubits in the next three to four years.

Partnerships and Industry Context

The company maintains collaborations with ecosystem partners, including work on error mitigation and correction. Strategic agreements, such as the one with Quanta Computer announced in early 2025, involve mutual investments exceeding $100 million each over five years to accelerate development and commercialization.

Rigetti operates in a competitive quantum computing sector alongside companies like IonQ and D-Wave. Broader government interest in quantum technologies, including reports of a $2 billion initiative involving equity stakes, has driven recent sector-wide stock movements.

Stock Performance

RGTI shares have shown significant volatility. The stock posted strong year-to-date and one-year gains through May 2026, though it has traded well below its 52-week high. Market reactions to quarterly results have varied, with shares declining after the Q1 2026 report before rebounding on the government funding news.

Rigetti’s business remains in a growth phase with ongoing net losses on an operating basis. Revenue has been described as lumpy due to the timing of system deliveries and contracts. The company continues to invest heavily in research and development to advance its hardware and error-correction capabilities.

Risks and Forward Outlook

Company filings and reports note execution risks related to technical challenges in scaling quantum systems, competition, and dependency on government and research contracts for near-term revenue. Profitability on a non-GAAP basis remains a focus as operations scale.

Rigetti is scheduled to participate in industry events, including a fireside chat at the Canaccord Genuity Virtual Quantum Symposium in May 2026. Further details on its three-year roadmap and system deployments are expected in upcoming updates.

As of May 2026, Rigetti’s market capitalization stood around $5 billion following recent trading activity. The company has emphasized its position in hybrid quantum-classical computing as demand for advanced computing capabilities grows across research, government and potential commercial applications.

This report is based on company announcements, financial filings and analyst data available through May 22, 2026. Quantum computing remains an emerging field with long development timelines, and actual results may differ from projections.