In the rapidly evolving landscape of quantum computing, IonQ, Inc. (IONQ) and Rigetti Computing, Inc. (RGTI) stand out as key players. Both companies operate within the same industry, focusing on innovative quantum technologies, yet they adopt distinct strategies in their approach to market penetration and product development. As an investor, it’s crucial to understand how these companies compare in terms of market potential and innovation. This article will help you determine which of these two intriguing companies could be the better addition to your portfolio.
Table of contents
Company Overview
IonQ Overview
IonQ, Inc. is at the forefront of the quantum computing revolution, dedicated to developing general-purpose quantum computing systems. Founded in 2015 and headquartered in College Park, Maryland, IonQ offers access to its quantum computers through various cloud platforms, including AWS’s Amazon Braket, Microsoft’s Azure Quantum, and Google’s Cloud Marketplace. With a market capitalization of approximately $14B, IonQ aims to democratize access to quantum technology, allowing businesses to leverage its capabilities for complex problem-solving. Their innovative approach positions them as a key player in the rapidly evolving technology sector.
Rigetti Computing Overview
Rigetti Computing, Inc., established in 2013 and based in Berkeley, California, specializes in integrated quantum systems and superconducting quantum processors. With a market cap of around $8.6B, Rigetti provides its quantum computers through its Quantum Cloud Services platform, facilitating integration into public, private, or hybrid clouds. This strategic positioning enables clients to utilize Rigetti’s powerful quantum computing capabilities for diverse applications. The company is committed to driving advancements in quantum technology, contributing to the broader landscape of computer hardware.
Key Similarities and Differences
Both IonQ and Rigetti Computing operate within the quantum computing sphere, emphasizing cloud accessibility for their systems. While IonQ focuses on general-purpose quantum computing with a broader market approach, Rigetti centers on integrated quantum systems and superconducting processors, catering to specific technological needs. Their unique business models reflect differing strategies in the competitive landscape of quantum technology.
Income Statement Comparison
The following table compares the most recent income statements of IonQ, Inc. and Rigetti Computing, Inc., highlighting key financial metrics for both companies.
| Metric | IonQ, Inc. (IONQ) | Rigetti Computing, Inc. (RGTI) |
|---|---|---|
| Revenue | 43.1M | 10.8M |
| EBITDA | -312.9M | -190.8M |
| EBIT | -331.6M | -197.7M |
| Net Income | -331.6M | -200.9M |
| EPS | -1.56 | -1.09 |
Interpretation of Income Statement
In the latest fiscal year, IonQ experienced a significant increase in revenue, reaching 43.1M, compared to 22.0M the previous year. However, both companies reported substantial net losses, with IonQ’s net income at -331.6M and Rigetti’s at -200.9M. IonQ’s EBITDA and EBIT also reflect ongoing challenges, indicating a deterioration in operational efficiency. Rigetti’s revenues declined from 12.0M to 10.8M, suggesting a potential slowdown in growth. Both companies continue to face high operating expenses, impacting margins negatively, thereby necessitating careful consideration for potential investors.
Financial Ratios Comparison
The following table presents a comparison of key financial ratios and metrics for IonQ, Inc. (IONQ) and Rigetti Computing, Inc. (RGTI) based on the most recent data available.
| Metric | [IONQ] | [RGTI] |
|---|---|---|
| ROE | -86.40% | -158.77% |
| ROIC | -48.22% | -24.91% |
| P/E | -26.83 | -14.02 |
| P/B | 23.18 | 22.26 |
| Current Ratio | 10.50 | 17.42 |
| Quick Ratio | 9.98 | 17.42 |
| D/E | 0.05 | 0.07 |
| Debt-to-Assets | 3.49% | 3.09% |
| Interest Coverage | 0 | -21.05 |
| Asset Turnover | 0.08 | 0.04 |
| Fixed Asset Turnover | 0.69 | 0.20 |
| Payout Ratio | 0% | 0% |
| Dividend Yield | 0% | 0% |
Interpretation of Financial Ratios
Both companies exhibit negative returns on equity (ROE) and invested capital (ROIC), indicating challenges in generating profits. IonQ shows a higher current and quick ratio, suggesting better short-term liquidity compared to Rigetti. However, both have high price-to-earnings ratios, reflecting market skepticism on their profitability. The debt levels are low, but the interest coverage for Rigetti raises concerns about its ability to meet interest obligations. Overall, caution is advised when considering investments in these companies.
Dividend and Shareholder Returns
Both IonQ, Inc. (IONQ) and Rigetti Computing, Inc. (RGTI) do not currently pay dividends. This is primarily due to their ongoing reinvestment strategies and focus on growth amid challenging financial performances, as evidenced by their negative net income margins. Both companies are prioritizing research and development, which could align with long-term shareholder value creation. Additionally, neither company has announced share buyback programs, indicating a cautious approach to capital allocation. The absence of dividends or buybacks suggests a lack of immediate returns, which could be a risk for investors seeking regular income.
Strategic Positioning
IonQ, Inc. (IONQ) and Rigetti Computing, Inc. (RGTI) are two key players in the quantum computing market, with IONQ holding a market cap of 13.99B and RGTI at 8.60B. While IONQ focuses on general-purpose quantum systems accessible via major cloud platforms, RGTI specializes in integrated systems with superconducting processors. Both companies face competitive pressure from each other and other tech giants, highlighting the need for continuous innovation amidst rapid technological disruption.
Stock Comparison
In this section, I will present a detailed analysis of the stock price movements for IonQ, Inc. (IONQ) and Rigetti Computing, Inc. (RGTI) over the past year, highlighting key price dynamics and trading behaviors.
Trend Analysis
IonQ, Inc. (IONQ) has experienced a significant overall price change of +297.92% over the past year, indicating a bullish trend. Notably, the stock reached a high of 73.28 and a low of 6.76. However, the recent trend shows a decline of -14.13% from September 14, 2025, to November 30, 2025, with a standard deviation of 9.72, suggesting increased volatility. The acceleration status is currently in deceleration, which may indicate a potential stabilization in price movements.
Rigetti Computing, Inc. (RGTI) exhibited an impressive overall price change of +2520.79% over the same period, also reflecting a bullish trend. The stock’s highest recorded price was 46.38, with a low of 0.75. The recent trend indicates a +38.66% increase from September 14, 2025, to November 30, 2025, with a standard deviation of 8.72. Similar to IonQ, the acceleration status shows deceleration, which could suggest that the stock is approaching a period of consolidation after rapid price movements.
In summary, both stocks are in a bullish trend overall, but recent price dynamics indicate a deceleration, warranting careful monitoring for potential adjustments in investment strategies.
Analyst Opinions
Recent analyst recommendations for IonQ, Inc. (IONQ) and Rigetti Computing, Inc. (RGTI) indicate a consensus rating of C-. Analysts have highlighted concerns regarding their financial health, particularly low scores in discounted cash flow and return ratios. Both companies face challenges with a debt-to-equity ratio of 3, which raises red flags about long-term sustainability. Given these factors, I recommend exercising caution. The consensus leans towards a hold position for the current year, as potential investors should weigh the associated risks carefully.
Stock Grades
In this section, I present the latest stock ratings for IonQ, Inc. and Rigetti Computing, Inc., based on reliable grading from recognized analysts.
IonQ, Inc. Grades
| Grading Company | Action | New Grade | Date |
|---|---|---|---|
| Benchmark | maintain | Buy | 2024-08-12 |
| Goldman Sachs | maintain | Neutral | 2024-08-09 |
| Craig-Hallum | maintain | Buy | 2024-08-08 |
| Needham | maintain | Buy | 2024-05-16 |
| Needham | maintain | Buy | 2024-05-09 |
| Goldman Sachs | maintain | Neutral | 2024-02-29 |
| Needham | maintain | Buy | 2024-02-29 |
| Morgan Stanley | maintain | Equal Weight | 2023-10-30 |
| Needham | maintain | Buy | 2023-09-20 |
| Needham | maintain | Buy | 2023-09-19 |
Rigetti Computing, Inc. Grades
| Grading Company | Action | New Grade | Date |
|---|---|---|---|
| B. Riley Securities | maintain | Neutral | 2025-11-12 |
| Benchmark | maintain | Buy | 2025-11-12 |
| B. Riley Securities | downgrade | Neutral | 2025-11-03 |
| Benchmark | maintain | Buy | 2025-10-07 |
| B. Riley Securities | maintain | Buy | 2025-09-22 |
| Benchmark | maintain | Buy | 2025-08-13 |
| Needham | maintain | Buy | 2025-08-04 |
| B. Riley Securities | maintain | Buy | 2025-07-23 |
| Benchmark | maintain | Buy | 2025-05-15 |
| Needham | maintain | Buy | 2025-05-14 |
The overall trend for IonQ shows a consistent buy rating from multiple analysts, indicating strong confidence in the company’s future. In contrast, Rigetti has experienced a recent downgrade, which may suggest some caution among analysts, despite several maintain ratings at “Buy” earlier in the year.
Target Prices
The consensus target prices for IonQ, Inc. and Rigetti Computing, Inc. indicate a positive outlook from analysts.
| Company | Target High | Target Low | Consensus |
|---|---|---|---|
| IonQ, Inc. | 75 | 55 | 64.5 |
| Rigetti Computing, Inc. | 42 | 18 | 33.33 |
For IonQ, analysts expect a target consensus of 64.5, significantly higher than the current price of 47.14. Meanwhile, Rigetti’s consensus of 33.33 suggests potential growth from its current price of 26.05, reflecting a favorable sentiment in the market.
Strengths and Weaknesses
The following table provides a comparative analysis of the strengths and weaknesses of IonQ, Inc. and Rigetti Computing, Inc., two key players in the quantum computing industry.
| Criterion | IonQ, Inc. | Rigetti Computing, Inc. |
|---|---|---|
| Diversification | Low | Medium |
| Profitability | Negative margins | Negative margins |
| Innovation | Strong | Strong |
| Global presence | Limited | Growing |
| Market Share | Emerging | Emerging |
| Debt level | Very low (3.5%) | Moderate (30.9%) |
The key takeaways indicate that both companies show strong innovation capabilities but face significant profitability challenges. IonQ has low debt, which is a positive sign, while Rigetti is expanding its global presence but carries a higher debt level.
Risk Analysis
The table below summarizes key risks associated with IonQ, Inc. and Rigetti Computing, Inc. as of the most recent fiscal year.
| Metric | IonQ, Inc. | Rigetti Computing, Inc. |
|---|---|---|
| Market Risk | High | High |
| Regulatory Risk | Moderate | Moderate |
| Operational Risk | High | High |
| Environmental Risk | Low | Low |
| Geopolitical Risk | Moderate | Moderate |
Both companies face significant market and operational risks, primarily due to volatility in the technology sector and ongoing regulatory challenges. IonQ and Rigetti are navigating a rapidly evolving landscape where competition and innovation are crucial for survival.
Which one to choose?
When comparing IonQ (IONQ) and Rigetti Computing (RGTI), both companies exhibit significant challenges, including negative profit margins and high research and development expenses. IONQ has shown a recent bullish stock trend with a price increase of 297.92%, while RGTI has increased by an impressive 2520.79%. However, both companies have a C- rating, indicating that neither has a particularly strong financial standing.
In terms of fundamentals, IONQ boasts higher gross profit margins compared to RGTI, but both exhibit substantial losses. Analysts may view IONQ as slightly more favorable due to its recent price performance, but the overall financial health of both companies is concerning.
Investors focused on aggressive growth may lean towards RGTI due to its remarkable stock performance, while those seeking more stable options might consider the potential of IONQ despite its risks.
Specific risks include market dependence and valuation challenges, particularly in the competitive tech sector.
Disclaimer: This article is not financial advice. Each investor is responsible for their own investment decisions.
Go further
I encourage you to read the complete analyses of IonQ, Inc. and Rigetti Computing, Inc. to enhance your investment decisions:
