On Tuesday, the relatively obscure company Rigetti Computing saw a remarkable surge in its stock price, driven by growing buzz around quantum computing. This excitement was sparked by a significant announcement from Google, and as a result, Rigetti’s shares skyrocketed by over 40%, marking one of the best trading days in its history. A previous highlight occurred on November 25, when the stock saw an impressive 58% jump.
The source of this current enthusiasm is Google’s unveiling of its latest chip named Willow, which the tech giant describes as a pivotal advancement in quantum computing technology. The chip purportedly addresses error reduction in a substantial way as qubits—quantum bits that form the fundamental units of data in quantum computers—are scaled up. According to Google, Willow can perform computations that would take the fastest supercomputers an astronomical 10 septillion years in just under five minutes, showcasing a potential leap beyond present capabilities.
While practical applications of quantum computing remain on the horizon, there is no shortage of optimism in the investment community. Hedge fund manager Eric Jackson, who heads EMJ Capital, is particularly bullish on the sector, viewing it as the next big wave following cryptocurrencies and artificial intelligence. “Quantum Computing is the next theme taking off after Crypto and AI,” Jackson commented on X, a popular social media platform. He noted that many companies in the quantum space have been performing well and cited Rigetti’s promising potential, given its relatively modest market cap of just $1 billion.
This year alone, Rigetti’s stock has appreciated by more than 570%, and with Monday’s market close, its valuation rose to $1.6 billion. Among its supporters, BlackRock stands out as the largest institutional investor, holding a 4.5% stake, according to data from FactSet. The narrative of Rigetti Computing is fast becoming a compelling chapter in the unfolding story of quantum computing’s rise.
