BERKELEY, CA – In a recent transaction on July 15, Alissa Fitzgerald, a director at Rigetti Computing, Inc. (NYSE:RGTI), sold 20,000 shares of the company's common stock at a price of $1.09 per share, totaling $21,800. Following this sale, Fitzgerald retains ownership of 193,667 shares in the company.
Rigetti Computing, a player in the quantum computing field, has seen its shares being actively traded by insiders, with this latest transaction occurring under a pre-arranged trading plan. According to the filing, the sale was executed in accordance with a Rule 10b5-1 trading plan, which was adopted by Fitzgerald on September 13, 2023. Such plans allow company insiders to set up a predetermined schedule to sell stocks at a future date, providing a legal framework to sell shares and avoid accusations of insider trading.
The transaction was disclosed in a Form 4 filing with the Securities and Exchange Commission, signed by Rick Danis, Attorney-in-Fact, on July 16, 2024.
Investors often monitor insider sales as they may provide insights into an insider’s view of the company's stock value. However, it is also common for insiders to sell shares for personal financial management reasons that are not necessarily indicative of their outlook on the company's future performance.
Rigetti Computing, known for its efforts in the development of quantum computing technology, continues to be a subject of interest in the tech and investment communities. The company's stock transactions are closely watched, as movements by insiders can sometimes provide valuable clues to the company’s trajectory.
Shareholders and potential investors in Rigetti Computing can stay informed of further insider transactions by reviewing the company's SEC filings and staying updated with the latest news and developments from the company.
In other recent news, Rigetti Computing, known for its hybrid quantum-classical computing systems, is set to join the Russell 3000 Index in July. This development signifies automatic inclusion in either the Russell 1000 or Russell 2000 Index, enhancing the visibility of Rigetti and the quantum computing sector to a broader market.
In financial updates, Rigetti Computing reported a 39% increase in first-quarter revenues for 2024, amounting to $3.1 million. Despite a decrease in gross margins, the company managed to reduce its total operating expenses, with cash reserves expected to sustain operations until mid-2025.
In terms of technological advancements, Rigetti achieved a 99.3% median 2-qubit gate fidelity on their 9-qubit Ankaa class quantum system. The company expressed confidence in scaling this performance to their upcoming 84-qubit Ankaa 3 system by year's end and has outlined plans for a more advanced 336-qubit Lyra system.
Lastly, Rigetti sold its Novera QPU to Horizon Quantum (NASDAQ:QMCO) Computing in Singapore and launched the Novera QPU Partnership Program to foster on-premises quantum ecosystems. These are among the recent developments that underscore Rigetti's commitment to advancing quantum computing technology and its role in the evolving U.S. economy.
InvestingPro Insights
As Rigetti Computing, Inc. (NYSE:RGTI) navigates the complex landscape of quantum computing, investors and insiders alike are keeping a keen eye on the company's financial health and stock performance. Recent data from InvestingPro shows a mixed picture, reflecting both opportunities and challenges for the company.
One of the notable InvestingPro Tips for RGTI highlights that the company holds more cash than debt on its balance sheet, which can provide some financial flexibility in its operations. Additionally, the company has seen a significant return over the last week, with a 14.42% price total return, indicating a recent uptick in investor confidence.
On the financial metrics front, Rigetti Computing's market capitalization stands at $204.58 million, suggesting a relatively modest size within the tech sector. Despite a challenging revenue growth of -2.58% over the last twelve months as of Q1 2024, the company has managed to achieve a substantial quarterly revenue growth of 38.66% in Q1 2024, which could signal a turning point for its sales performance.
However, the company's P/E ratio is currently negative at -2.05, and analysts from InvestingPro do not anticipate Rigetti will be profitable this year. This metric, along with a high revenue valuation multiple, may raise concerns about the company's current valuation and future earnings potential.
For those interested in a deeper dive into Rigetti's financials and stock performance, InvestingPro offers an additional 10 tips, which can be accessed at https://www.investing.com/pro/RGTI. To enhance your investment research, use the coupon code PRONEWS24 to get up to 10% off a yearly Pro and a yearly or biyearly Pro+ subscription.
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