Financial Analysis: Tastemaker Acquisition (NASDAQ:TMKR) vs. Rigetti Computing (NASDAQ:RGTI)

Tastemaker Acquisition (NASDAQ:TMKR – Get Rating) and Rigetti Computing (NASDAQ:RGTI – Get Rating) are both small-cap unclassified companies, but which is the better investment? We will compare the two businesses based on the strength of their dividends, profitability, valuation, risk, institutional ownership, earnings and analyst recommendations.

Valuation and Earnings

This table compares Tastemaker Acquisition and Rigetti Computing’s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Tastemaker Acquisition	N/A	N/A	$7.10 million	N/A	N/A
Rigetti Computing	$13.10 million	9.52	-$71.52 million	($0.63)	-1.52

Tastemaker Acquisition has higher earnings, but lower revenue than Rigetti Computing.

Insider and Institutional Ownership

69.7% of Tastemaker Acquisition shares are owned by institutional investors. Comparatively, 43.3% of Rigetti Computing shares are owned by institutional investors. 20.0% of Tastemaker Acquisition shares are owned by insiders. Comparatively, 0.5% of Rigetti Computing shares are owned by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.

Volatility and Risk

Tastemaker Acquisition has a beta of 0.02, meaning that its stock price is 98% less volatile than the S&P 500. Comparatively, Rigetti Computing has a beta of 1.76, meaning that its stock price is 76% more volatile than the S&P 500.

Profitability

This table compares Tastemaker Acquisition and Rigetti Computing’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Tastemaker Acquisition	N/A	-2.68%	0.26%
Rigetti Computing	-567.88%	-48.70%	-36.27%

Analyst Recommendations

This is a breakdown of recent ratings for Tastemaker Acquisition and Rigetti Computing, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Tastemaker Acquisition	0	0	0	0	N/A
Rigetti Computing	0	1	4	0	2.80

Rigetti Computing has a consensus target price of $2.17, indicating a potential upside of 125.62%. Given Rigetti Computing’s higher probable upside, analysts plainly believe Rigetti Computing is more favorable than Tastemaker Acquisition.

Summary

Tastemaker Acquisition beats Rigetti Computing on 6 of the 10 factors compared between the two stocks.

About Tastemaker Acquisition

(Get Rating)

Tastemaker Acquisition Corp. does not have significant operations. The company focuses on effecting a merger, capital stock exchange, asset acquisition, stock purchase, reorganization, or business combination with one or more businesses. It intends to focus on companies in the restaurant, hospitality, and related technology and services sectors. The company was incorporated in 2020 and is based in New York, New York.

About Rigetti Computing

(Get Rating)

Rigetti Computing, Inc. operates as an integrated systems company. The company builds quantum computers and the superconducting quantum processors that power them. Its machines are integrated into various public, private, or hybrid clouds through its Quantum Cloud Services platform. The company was founded in 2013 and is based in Berkeley, California.