Head to Head Survey: EPAM Systems (NYSE:EPAM) & Rigetti Computing (NASDAQ:RGTI)

Rigetti Computing (NASDAQ:RGTI) and EPAM Systems (NYSE:EPAM) are both computer and technology companies, but which is the superior business? We will contrast the two businesses based on the strength of their earnings, valuation, profitability, analyst recommendations, dividends, institutional ownership and risk.

Institutional and Insider Ownership

35.4% of Rigetti Computing shares are owned by institutional investors. Comparatively, 91.6% of EPAM Systems shares are owned by institutional investors. 2.8% of Rigetti Computing shares are owned by company insiders. Comparatively, 4.3% of EPAM Systems shares are owned by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company is poised for long-term growth.

Analyst Ratings

This is a breakdown of current recommendations and price targets for Rigetti Computing and EPAM Systems, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Rigetti Computing	0	0	5	0	3.00
EPAM Systems	0	6	14	0	2.70

Rigetti Computing presently has a consensus price target of $4.80, suggesting a potential downside of 68.91%. EPAM Systems has a consensus price target of $272.20, suggesting a potential upside of 12.86%. Given EPAM Systems’ higher probable upside, analysts plainly believe EPAM Systems is more favorable than Rigetti Computing.

Volatility and Risk

Rigetti Computing has a beta of 2.72, suggesting that its stock price is 172% more volatile than the S&P 500. Comparatively, EPAM Systems has a beta of 1.49, suggesting that its stock price is 49% more volatile than the S&P 500.

Valuation & Earnings

This table compares Rigetti Computing and EPAM Systems”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Rigetti Computing	$11.89 million	249.67	-$75.11 million	($0.38)	-40.63
EPAM Systems	$4.64 billion	2.95	$417.08 million	$7.70	31.32

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

Profitability

This table compares Rigetti Computing and EPAM Systems’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Rigetti Computing	-509.58%	-51.56%	-37.78%
EPAM Systems	9.68%	14.92%	11.91%

Summary

EPAM Systems beats Rigetti Computing on 11 of the 14 factors compared between the two stocks.

About Rigetti Computing

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.

About EPAM Systems

EPAM Systems, Inc. provides digital platform engineering and software development services worldwide. The company offers engineering services, including requirements analysis and platform selection, customization, cross-platform migration, implementation, and integration; infrastructure management services, such as software development, testing, performance tuning, deployment, maintenance, and support services. It also provides operation solutions comprising integrated engineering practices and smart automation services. In addition, the company offers business, experience, technology, data, and technical advisory consulting services; and digital and service design solutions, which comprise strategy, design, creative, and program management services, as well as physical product development, such as artificial intelligence, robotics, and virtual reality. The company serves the financial services, travel and consumer, software and hi-tech, business information and media, life sciences and healthcare, and other industries EPAM Systems, Inc. was founded in 1993 and is headquartered in Newtown, Pennsylvania.