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The experiment and its implications

Where things stand now—and what to watch

Questions we need to ask

• Rigetti Computing has emerged as one of the most popular quantum computing stocks over the last year.

• The company’s CEO sold $11 million worth of stock earlier this year.

• While Rigetti shares have continued to run up, the stock mostly trades on narratives and headlines as opposed to concrete fundamentals or progress.

• 10 stocks we like better than Rigetti Computing ›

For much of the last three years, just about anything that touches the very idea of artificial intelligence (AI) has witnessed some form of price appreciation — be it fleeting price jolts or sustained valuation increases. Some beneficiaries of the AI boom so far include semiconductor stocks, cloud computing companies, nuclear energy, and even the cryptocurrency sector.

Now, as the AI theme accelerates, investors are becoming captivated by a new frontier: Quantum computing.

What’s interesting, though, is that many of the hottest quantum AI stocks have been found beyond the usual tech titans of Nvidia, Microsoft, Amazon, Alphabet, or Palantir Technologies.

Shares of one player, Rigetti Computing (NASDAQ: RGTI), have gained roughly 3,000% over the last year as of this writing (Oct. 23).

With such impressive returns, Rigetti’s management must be more bullish than ever, right? Well, not so fast.

Below, I’ve provided an overview of Rigetti Computing’s origins, as well as a breakdown of what its CEO has been doing with his stock. Spoiler alert: He’s cashing out. The question is, should you follow his lead before it’s too late?

Rigetti Computing was founded in 2013 by a physicist and former IBM employee, Chad Rigetti. For almost a decade, Rigetti remained a private company, raising money from venture capital (VC) funds, most notably Andreessen Horowitz.

In late 2021, Rigetti disclosed its intention to go public via a special purpose acquisition company (SPAC). Throughout 2020 and 2021, SPAC offerings experienced an uptick compared to prior periods — primarily due to their endorsement by the so-called “SPAC King,” Chamath Palihapitiya. The company eventually made its debut on the Nasdaq in March 2022.

Subodh Kulkarni spent the early days of his career in research roles at IBM and 3M. Throughout his career, he went on to serve in a number of leadership positions at various hardware and software operations, including a company called CyberOptics, which was acquired by Nordstrom in November 2022. Just a month later, Kulkarni took the reins at Rigetti following the resignation of its prior founder-CEO.

Like many highly compensated employees, Kulkarni’s payment structure is comprised of both a salary and awards in the form of options.

Rigetti’s share price at the start of the year hovered around $6. By May, the stock had climbed within the range of $12 to $15.

Here is where things get interesting. According to a Form 4 filing with the Securities and Exchange Commission (SEC) on May 21, Kulkarni exercised 1 million stock options at a strike price of $0.96 per share, and then immediately sold those shares at an average price of about $12 — netting a cool $11 million in just one trading day.

Now, sometimes when corporate executives sell stock, it’s part of a pre-planned trading program known as a Rule 10b5-1(c). These guardrails are designed to prevent insiders from liquidating their equity — and profiting — from material, non-public information. That would be known as insider trading.

This is not the case for Kulkarni. Per the Form 4, the Rule 10b5-1(c) box was not checked off. This implies that Kulkarni’s sale was discretionary and not an automatic function of a previously agreed-upon structure.

Kulkarni isn’t the only one taking profits, either. My fellow Fool, Sean Williams, astutely pointed out that insiders at Rigetti have collected more than $50 million in proceeds over the last five years.

While Kulkarni will likely continue to earn additional stock incentives as long as he remains CEO, it’s curious that someone in his position would dump their equity just as shares began to experience some momentum — fueled by the broader optimism of the AI revolution.

Since Kulkarni’s sales, shares of Rigetti have gone even more parabolic. They’re now trading for about $40. In terms of valuation, Rigetti is trading at a price-to-sales (P/S) multiple of 1,267. This reflects more than optimism; it’s completely detached from reality and far surpasses what internet darlings witnessed during the dot-com bubble.

In my eyes, it’s pretty clear what’s going on here. Talking heads on financial news programs are collectively echoing the once-in-a-generation opportunity that is AI. By extension, meme traders on forums such as Reddit‘s r/wallstreetbets are creating hype-driven narratives suggesting that quantum computing stocks are the next big thing.

Behind the scenes, however, insiders and executives at these same quantum AI businesses are capitalizing on the volatility — selling their shares to unsuspecting retail investors who will be left holding the bag.

If you were lucky enough to buy Rigetti stock earlier this year, the prudent move is to use the current surge as an opportunity to sell and lock in some gains. On the other hand, if you bought shares near the top, it might be best to cut your losses now. History has shown with prior bubbles that many companies become falling knives at the flick of a switch, never recapturing their prior peaks.

Before you buy stock in Rigetti Computing, consider this:

The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Rigetti Computing wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.

Consider when Netflix made this list on December 17, 2004… if you invested $1,000 at the time of our recommendation, you’d have $590,357!* Or when Nvidia made this list on April 15, 2005… if you invested $1,000 at the time of our recommendation, you’d have $1,141,748!*

Now, it’s worth noting Stock Advisor’s total average return is 1,033% — a market-crushing outperformance compared to 193% for the S&P 500. Don’t miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors.

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*Stock Advisor returns as of October 20, 2025

Adam Spatacco has positions in Alphabet, Amazon, Microsoft, Nvidia, and Palantir Technologies. The Motley Fool has positions in and recommends 3M, Alphabet, Amazon, International Business Machines, Microsoft, Nvidia, and Palantir Technologies. The Motley Fool recommends the following options: long January 2026 $395 calls on Microsoft and short January 2026 $405 calls on Microsoft. The Motley Fool has a disclosure policy.

This Quantum Computing Stock Is Up 3,000% Over the Last Year, and the CEO Just Cashed Out. Are Retail Investors Fueling a Bubble? was originally published by The Motley Fool

Mepolizumab reduced both health care resource utilization (HCRU) and work productivity and activity impairment (WPAI) among patients with severe asthma in the real-world REALITA-A study.¹ The findings, published in the Journal of Asthma, emphasize the real-world benefits of mepolizumab (Nucala; GSK) for severe eosinophilic asthma.

The economic burden of severe asthma, driven by frequent hospitalizations and productivity loss, represents a significant drain on health care systems and employers.^2,3 The prospective REALITI-A study demonstrated that over 2 years of treatment, mepolizumab was associated with substantial and sustained reductions in both HCRU and WPAI for adult patients with severe eosinophilic asthma.¹

The REALITI-A study enrolled 822 adult patients with severe asthma newly initiating subcutaneous mepolizumab (100 mg) and compared HCRU and WPAI outcomes during a 24-month follow-up period against the 12 months prior to treatment initiation. The study population reflected the complex nature of severe asthma management, with patients having a mean age of 54 years and a high baseline exacerbation rate, averaging 4.4 clinically significant events in the year before treatment.

The most notable outcome for HCRU was the sustained and significant decrease in acute care needs. Across the 24-month follow-up period, the rates of asthma-related hospitalizations, emergency department (ED) visits, and outpatient visits were all reduced by a statistically significant 59% to 64% (all P < .001) compared with the pre-treatment year. The rates of hospitalization saw a 53% reduction in the first 12 months, a benefit that was sustained through the second year. The mean number of overnight hospital stays per patient dropped from 2.4 in the year before treatment to 1 during the 12-month follow up and 0.5 at the 24-month follow-up, representing a decline in the most costly elements of severe asthma management. These results align with previous clinical trials and claims database data, consistently showing mepolizumab’s positive impact on HCRU.

Beyond direct medical costs, the study demonstrated significant improvements in patient function based on the WPAI questionnaire. Patients reported a 74% relative reduction in the score for overall work impairment by the 24-month mark, from a baseline mean of 38.2% to 9.8%. This improvement was driven by major decreases in 2 components: presenteeism (impairment while working) scores decreased by 75% relative to baseline, and absenteeism (work time missed) scores decreased by 70%. The mean activity impairment score, which assesses limitations in daily activities outside of work, also saw a substantial 55% relative decrease from baseline after 2 years of treatment.

While the strength of the observational study lies in its ability to reflect patient outcomes within routine clinical practice, a major benefit for informing real-world resource allocation decisions, the authors noted several limitations. First, patients had more comorbidities compared clinical trial populations, which have more specific enrollment criteria. Patients enrolled in REALITI-A likely also had slightly more severe asthma vs clinical trial populations because reimbursement criteria had to be met to be eligible to receive mepolizumab in the real-world setting. Missing data was another limitation, which is consistent with the study’s real-world setting and observational nature.

Still, the real-world data support the long-term value of mepolizumab as an add-on maintenance therapy. The sustained, significant mitigation of exacerbation-related HCRU—including hospitalizations and ED visits—combined with the impact on productivity and daily functioning, suggests that the drug may alleviate considerable cost-related burdens for health care systems and employers.

“The results of this analysis indicate that mepolizumab treatment reduced HCRU while improving activity and productivity in patients with severe asthma in a real-life setting over 2 years,” the authors concluded. “These data may be informative for health care system resource allocation.”

References

1. Canonica GW, Bourdin A, Penz E, Zhang L, Howarth P, Alfonso-Cristancho R. Mepolizumab reduced healthcare resource utilization and improved work productivity in patients with severe asthma during the REALITI-A 2-year study. J Asthma. Published online September 29, 2025. doi:10.1080/02770903.2025.2558755

2. Kerkhof M, Tran TN, Soriano JB, Golam S, Gibson D, Hillyer EV, Price DB. Healthcare resource use and costs of severe, uncontrolled eosinophilic asthma in the UK general population. Thorax. 2018;73(2):116-124. doi:10.1136/thoraxjnl-2017-210531

3. Song HJ, Blake KV, Wilson DL, Winterstein AG, Park H. Medical costs and productivity loss due to mild, moderate, and severe asthma in the United States. J Asthma Allergy. 2020;13:545-555. doi:10.2147/JAA.S272681