On May 4, Xanadu Quantum Technologies shares tumbled 61.27% to $13.99, making it the largest loser in the market. The steep decline came after investors rushed to exit positions that had been heavily driven by speculative momentum.

In mid-April, a market warning labeled the stock a “ticking time bomb,” highlighting a lack of revenue underpinning its rapid ascent. That alert prompted profit taking and underscored the risks of holding positions unsupported by fundamental valuation.