New York – March 21, 2025 – Rigetti Computing, Inc. (NASDAQ: RGTI) has garnered strong support from Wall Street analysts, earning an Average Brokerage Recommendation (ABR) of 1.17 on a scale of 1 to 5. This rating, based on insights from six brokerage firms, positions the stock between Strong Buy and Buy, with five analysts rating it a Strong Buy and one rating it a Buy.
📊 Bullish Analyst Sentiment
The overwhelmingly positive ABR reflects strong confidence in Rigetti’s growth potential. With 83.3% of recommendations as Strong Buy and 16.7% as Buy, analysts appear optimistic about the company’s future performance.
💡 Earnings Estimate Revisions Drive Zacks Rank Upgrade
Beyond the bullish ABR, Rigetti has also received a Zacks Rank #2 (Buy) rating, signaling favorable near-term price potential. The upgrade is driven by:
- Earnings estimate revisions: The Zacks Consensus Estimate for 2025 EPS has improved by 29.1% over the past month to -$0.20, indicating growing optimism.
- Strong upward revisions in earnings estimates are often correlated with positive stock price momentum, making Rigetti a promising pick.
📈 ABR vs. Zacks Rank: Key Differences
While both the ABR and Zacks Rank use a 1-5 scale, they measure different factors:
- ABR is based on brokerage recommendations, which can sometimes reflect institutional biases or vested interests.
- Zacks Rank, on the other hand, is based on earnings estimate revisions, which have a stronger correlation with near-term price movements.
- The Zacks Rank is considered more reliable due to its data-driven methodology and timeliness.
🔍 Is Rigetti a Good Investment?
The combination of a Strong Buy-equivalent ABR and an improved Zacks Rank suggests Rigetti Computing could be poised for near-term gains. With analysts revising EPS estimates upward and showing broad agreement on the company’s growth trajectory, the stock appears well-positioned for potential upside.
💡 Investor Takeaway
While Wall Street’s bullish ABR on Rigetti Computing offers a positive signal, the Zacks Rank #2 (Buy) rating, backed by rising earnings estimates, provides a more reliable indicator of the stock’s upside potential. Investors seeking exposure to the quantum computing sector may find Rigetti an attractive play for 2025.
