Rigetti Computing’s stock price surged 3,000% last year on AI hype, but its CEO cashed out $11 million in a single day.
The company was founded by physicist Chad Rigetti in 2013 and remained private until going public via a special purpose acquisition company (SPAC) deal in 2022. Subodh Kulkarni took the reins as CEO after previously leading a hardware and software operation.
Kulkarni exercised 1 million stock options at $0.96 per share and sold them for $12, netting $11 million. This sale was not part of a pre-planned trading program, indicating that Kulkarni made discretionary decisions.
Insiders have collected over $50 million in proceeds from Rigetti’s shares over the last five years. The company is now trading at 1,267 P/S multiple, detached from reality and surpassing dot-com bubble valuations.
Many experts are caught up in AI hype, suggesting that quantum computing stocks will be the next big thing. However, insiders are capitalizing on volatility by selling their shares to retail investors, who may be left holding the bag. For those who bought Rigetti stock earlier this year, selling now might be a prudent move. If you bought near the top, cutting losses might be best.
Source: https://www.fool.com/investing/2025/10/26/this-quantum-computing-stock-is-up-3000-over-the-l