"Shares of Rigetti Computing ( NASDAQ: RGTI) collapsed 40% over the past month, falling from $39 in early November to $23.45 on December 1. The crash coincided with a dramatic shift in retail investor sentiment, plummeting from bullish scores of 78-82 in late November to very bearish readings of 12-18 by early December on platforms like Reddit and X. The reversal centers on mounting concerns about insider selling, revenue declines, and extreme valuations across the quantum computing sector."
"Retail traders on r/wallstreetbets are fixated on insider selling patterns. CTO David Rivas and CFO Jeffrey Bertelsen both sold shares on November 20 at $26.34 and $26.35 respectively, just as the stock was crashing. More concerning to investors: CEO Subodh Kulkarni sold his entire position at $12 per share and currently holds zero shares."
"The financial picture supports bearish sentiment. Rigetti generated just $1.95M in Q3 revenue, down 18.1% year-over-year, while burning through $200.97M. The company trades at a staggering 1,033x sales ratio on its $7.74B market cap. Three fundamental concerns dominate discussions: Revenue declined 18.1% YoY despite quantum computing hype Cash burn rate requires continuous dilution through ATM offerings Commercial quantum computing remains 10+ years away per CEO comments"
Rigetti Computing shares fell roughly 40% from about $39 to $23.45 as retail sentiment swung from strongly bullish to very bearish. Retail platforms recorded sentiment scores dropping from the high 70s to the low teens. Company insiders, including the CTO and CFO, sold shares in late November, and the CEO previously sold his entire stake and now holds no shares. Rigetti reported $1.95M in Q3 revenue, down 18.1% year-over-year, while burning $200.97M and trading at an implied ~1,033x sales multiple. Investors cite ongoing dilution risk, delayed commercialization of quantum computing (10+ years), and extreme peer valuations as key concerns.
Read at 24/7 Wall St.
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