QuantumScape (NYSE:QS) Stock Price Down 2.9% - Here's Why

QuantumScape Co. (NYSE:QS) experienced a decrease of 2.9% in its stock price during mid-day trading on Friday. The stock hit a low of $5.77 before closing at $5.96. Volume peaked at 18,743,122 shares traded, which is a significant surge of 96% compared to the average trading volume of 9,572,858 shares. Previous to this drop, the stock had closed at $6.14.

Analysts Set New Price Targets

Several analysts have recently reviewed QS shares. Deutsche Bank reaffirmed a "hold" rating and set a price target of $6.00 for QuantumScape. In another note, Wolfe Research began coverage of the stock with an "underperform" rating. Meanwhile, Truist Financial also maintained a "hold" rating and increased its price target from $6.00 to $7.00. Furthermore, HSBC upgraded its assessment from "reduce" to "hold," providing a $5.30 price target. As it stands, one analyst has issued a sell rating while six analysts have given a hold rating. According to MarketBeat.com, QuantumScape holds a consensus rating of "Hold" with an average price target of $6.26.

QuantumScape Stock Performance

Currently, QuantumScape has a market capitalization of $3.01 billion. Its price-to-earnings ratio stands at -6.19, and it has a beta of 4.50, indicating higher volatility compared to the market. The company also has a debt-to-equity ratio of 0.03, as well as a current and quick ratio of 14.07. The stock's fifty-day simple moving average has been recorded at $5.17, while the two-hundred-day average is $5.64.

On October 23, QuantumScape released its latest earnings results, reporting earnings per share (EPS) of ($0.23) for the quarter. This figure fell short of analysts' consensus estimate of ($0.21) by $0.02. In the same quarter of the previous year, the earnings per share was also ($0.23). Analysts expect QuantumScape to report an EPS of -0.99 for the current fiscal year.

Insider Buying and Selling

In related news, on November 14, Director Jagdeep Singh sold 5,531 shares at an average price of $5.01, for a total value of approximately $27,710.31. Post-transaction, Singh holds 2,590,583 shares valued at $12,978,820.83, marking a 0.21% drop in his stake. The sale has been recorded in a filing with the SEC. Additionally, CFO Kevin Hettrich sold 29,667 shares on December 5 at an average price of $5.10, bringing in around $151,301.70. After this sale, Hettrich's ownership stands at 1,024,325 shares worth approximately $5,224,057.50, indicating a 2.81% decrease in their stake. In the last quarter alone, insiders sold 666,032 shares, totaling a value of $3,549,682. Company insiders own about 12.03% of QuantumScape's stock.

Hedge Funds Weigh In On QuantumScape

Recently, several hedge funds have adjusted their stakes in QuantumScape. Signaturefd LLC increased its investment by 79.9% in the third quarter, owning 4,838 shares valued at $28,000 after buying an additional 2,148 shares this past quarter. International Assets Investment Management LLC boosted its holdings by 475.1% during the same period, now owning 5,118 shares worth $29,000 after purchasing 4,228 more shares. Additionally, Centaurus Financial Inc. and Financial Advocates Investment Management acquired stakes in the second quarter, valued at about $52,000 and $58,000, respectively. Atom Investors LP also made a new investment in QuantumScape worth approximately $60,000. Institutional investors now account for 29.87% of the total shares.

About QuantumScape

QuantumScape Corporation is a research and development company specializing in solid-state lithium-metal batteries, targeting applications in electric vehicles and other areas. Established in 2010, it is headquartered in San Jose, California.

QuantumScape, Stocks, Analysts