Why Rigetti Computing, Inc. (RGTI) Crashed Today

We recently published a list of 10 Firms Drenched in Red Today. In this article, we are going to take a look at where Rigetti Computing, Inc. (NASDAQ:RGTI) stands against other firms that are drenched in red today.

Ten companies pulled back on Wednesday, booking hefty losses during the trading session, with investor sentiment weighed down by a flurry of government policies and dismal earnings performance in the last quarter of the year.

Meanwhile, the Dow Jones fell by 1.91 percent, the S&P 500 declined by 1.61 percent, and the tech-heavy Nasdaq dropped 1.41 percent.

In this article, let us take a look at the 10 companies that led a poor performance during the day and explore the reasons behind their drop.

To come up with the list, we considered only the stocks with a $2 billion market capitalization and $5 million in trading volume.

Rigetti Computing, Inc. (NASDAQ:RGTI)

Rigetti Computing dropped for a second day on Wednesday, losing 8.05 percent to close at $10.96 apiece as investors continued to take profits following its retest of the $12 level earlier this week.

In recent news, the company reported a 52-percent decline in revenues for the first quarter of the year, at $1.47 million versus the $3.05 million registered in the same period last year, as loss from operations expanded by 30 percent to $21.6 million from $16.58 million year-on-year.

Total operating expenses grew by 22 percent to $22.07 million from $18.08 million in the same comparable period.

Earlier this year, Rigetti Computing, Inc. (NASDAQ:RGTI) announced a number of projects from the US and UK governments, reflecting its stronghold in the quantum computing sector. This includes its participation in DARPA’s Quantum Benchmarking Initiative, grant of AFOSR award to further develop breakthrough chip fabrication technology, as well as three Innovate UK Quantum Mission pilot awards to advance superconducting quantum computing.

Overall, RGTI ranks 7th on our list of firms that are drenched in red today. While we acknowledge the potential of RGTI as an investment, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. There is an AI stock that went up since the beginning of 2025, while popular AI stocks lost around 25%. If you are looking for an AI stock that is more promising than RGTI but that trades at less than 5 times its earnings, check out our report about this cheapest AI stock.

READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires.

Disclosure: None. This article is originally published at Insider Monkey.