D-Wave Quantum (QBTS), Rigetti (RGTI) rise on bullish analyst notes

D-Wave Quantum (QBTS), Rigetti (RGTI) rise on bullish analyst notes

Shares of two quantum computing stocks – D-Wave Quantum (QBTS) and Rigetti Computing (RGTI) – are up 20% and 26%, respectively, today after various investment banks issued positive comments on each of the names today.

Investment bank Benchmark raised its price target on D-Wave from $3 to $8 after a meeting with the company’s CFO. Benchmark notes that investor sentiment toward quantum computing firms has recovered and believes the risk posed by the company has decreased after conducting a capital raise. As a result, the investment bank, which noted that the capital raise was less dilutive for shareholders than feared, is more bullish on QBTS stock.

A modern computer data center operating an advanced quantum computing system.

Additionally, Benchmark is optimistic about D-Wave’s upcoming projects and believes the new go-to-market strategy will allow the company to launch projects more quickly in the future.

Investment bank Craig-Hallum reached out to Rigetti and began coverage on the shares with a Buy rating and a $12 price target. According to the investment bank, quantum computing can be revolutionary. Although the technology likely won’t become widespread for several years, it’s worth focusing on for investors now, the investment bank said.

And given Rigetti’s unrivaled ability to grow its quantum business, the company could be able to outperform its competitors in the long term, Craig-Hallum believes.

While we recognize the potential of QBTS and RGTI, we believe some AI stocks are more promising for delivering higher returns, and within a shorter time frame. If you’re looking for an AI stock that’s more promising than QBTS and RGTI but trades at less than 5 times earnings, check out our report on it cheapest AI stock. READ ALSO The 8 Best Wide Moat Stocks to Buy Now And The 30 most important AI stocks according to BlackRock Disclosure: None. This article was originally published on Insider Monkey.

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