Contrasting Rigetti Computing (NASDAQ:RGTI) and NTT DATA Group (OTCMKTS:NTDTY)

NTT DATA Group (OTCMKTS:NTDTYGet Free Report) and Rigetti Computing (NASDAQ:RGTIGet Free Report) are both business services companies, but which is the better stock? We will compare the two businesses based on the strength of their earnings, analyst recommendations, dividends, valuation, risk, profitability and institutional ownership.

Analyst Ratings

This is a breakdown of recent ratings and recommmendations for NTT DATA Group and Rigetti Computing, as provided by MarketBeat.com.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
NTT DATA Group 0 0 0 1 4.00
Rigetti Computing 0 0 5 0 3.00

Rigetti Computing has a consensus price target of $5.70, indicating a potential downside of 53.85%. Given Rigetti Computing’s higher possible upside, analysts plainly believe Rigetti Computing is more favorable than NTT DATA Group.

Risk and Volatility

NTT DATA Group has a beta of 1.15, suggesting that its share price is 15% more volatile than the S&P 500. Comparatively, Rigetti Computing has a beta of 1.26, suggesting that its share price is 26% more volatile than the S&P 500.

Earnings and Valuation

This table compares NTT DATA Group and Rigetti Computing”s revenue, earnings per share and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
NTT DATA Group $30.25 billion 0.93 $923.70 million $0.70 28.74
Rigetti Computing $12.01 million 197.74 -$75.11 million ($0.38) -32.50

NTT DATA Group has higher revenue and earnings than Rigetti Computing. Rigetti Computing is trading at a lower price-to-earnings ratio than NTT DATA Group, indicating that it is currently the more affordable of the two stocks.

Institutional and Insider Ownership

35.4% of Rigetti Computing shares are held by institutional investors. 2.8% of Rigetti Computing shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.

Profitability

This table compares NTT DATA Group and Rigetti Computing’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
NTT DATA Group 3.05% 5.02% 1.95%
Rigetti Computing -509.58% -51.56% -37.78%

Summary

NTT DATA Group beats Rigetti Computing on 9 of the 15 factors compared between the two stocks.

About NTT DATA Group

(Get Free Report)

NTT DATA Group Corporation provides IT and business services worldwide. It offers cloud, cybersecurity, data and intelligence, salesforce, SAP, ServiceNow, and application development and management, as well as 5G services. The company also provides consulting, industry solutions, business process services, and IT modernization and managed services. It serves automotive, healthcare, life sciences, media, banking, and insurance industries. The company was formerly known as NTT DATA Corporation. NTT DATA Group Corporation was founded in 1988 and is headquartered in Tokyo, Japan. NTT DATA Group Corporation operates as a subsidiary of Nippon Telegraph and Telephone Corporation.

About Rigetti Computing

(Get Free Report)

Rigetti Computing, Inc., through its subsidiaries, builds quantum computers and the superconducting quantum processors. The company offers cloud in a form of quantum processing unit, such as 9-qubit chip and Ankaa-2 system under the Novera brand name; and sells access to its quantum computers through quantum computing as a service. It also provides quantum cloud services that provides various range of support in programming, public or private clouds integration, and connectivity, as well as quantum operating system software that supports both public and private cloud architectures. In addition, the company offers professional services, such as algorithm development, benchmarking, quantum application programming, and software development. The company serves commercial enterprises, government organizations, and international government entities. It has operations in the United States and the United Kingdom. Rigetti Computing, Inc. was founded in 2013 and is headquartered in Berkeley, California.

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