Rigetti Computing surges following equity offering, Nvidia CEO comments
- Rigetti stock spikes after selling $350 million in new shares.
- Nvidia CEO speaks positively about quantum computing at Paris conference.
- Lower US inflation and trade framework with China are viewed positively by the market.
- RGTI stock sells off after taking out 78.6% Fibo.
Rigetti Computing (RGTI) stock has rallied as much as 20% on Wednesday after the company completed a $350 million at-the-market equity offering that was fully subscribed. Shares of the quantum computing company rallied to an intraday high of $13.56 before pulling back to the $12.40s by the afternoon.
The rally has been helped by two major positive pieces of news in the broad equity market. First, the May Consumer Price Index (CPI) showed US inflation largely coming in below consensus and roughly stable. Analysts caution that the Trump administration's tariffs have not yet filtered into the data, but the market is taking it as a sign that Federal Reserve (Fed) rate cuts are not far off. Both President Donald Trump and Vice President JD Vance said the central bank should lower rates based on the inflation reading.
Second, the US and China have agreed on a trade framework that will need to be approved by Trump and China's Xi Jinping, but based on the President's social media statement below, it seems like a done deal. The US will institute 55% tariffs on China, while the latter retains its 10% tariff on US goods.
Truth Social post on June 11, 2025
The tariff rate is much higher than the interim 30% level that was agreed to last month, but the market surmises that this is positive due to lower uncertainty for importers. Additionally, US automakers will have access to Chinese rare earths. Equity indices gained in the morning session but turned mixed by the afternoon. The Dow Jones Industrial Average (DJIA) is slightly positive, while the NASDAQ and S&P 500 have veered marginally lower.
Rigetti Computing stock news
The $350 million share offering will allow Rigetti to have $575 million in cash on its balance sheet for corporate purposes. The deal follows a similar $400 million offering by competitor D-Wave Quantum (QBTS) that occurred on Tuesday. Both instances show there is ample demand for high-risk investments in the quantum sphere at the same time as most tech attention is swallowed up by artificial intelligence stocks.
The whole industry saw gains on Wednesday after Nvidia (NVDA) CEO Jensen Huang said that use cases for quantum computing were in reach. This was viewed as going against his statements at the start of the year that real use cases for about one or two decades away. Huang was speaking about Nvidia's CUDA Q quantum computing unit at the GTC event in Paris.
Founded in 2013, Rigetti Computing builds quantum computers and processors for corporate and government clients. It offers quantum computing as a service, as well as directly selling its 9-qubit quantum processing unit and 84-qubit Ankaa-3 system.
Rigetti Computing stock forecast
RGTI stock rode a wave of euphoria up to $13.56 in the morning session, but traders decided to take their profits with them at lunchtime. Before it pulled back, RGTI reached the 78.6% Fibonacci Retracement just below its intraday high.
The next portion of resistance comes between the $15.00 prior resistance and the $15.30 level that serves as the 100% placeholder for the Fibo graph. The next Fibo target will be the 161.8% Fibo at $20.52.
RGTI daily stock chart
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Author
Clay Webster
FXStreet
Clay Webster grew up in the US outside Buffalo, New York and Lancaster, Pennsylvania. He began investing after college following the 2008 financial crisis.
