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

On Friday, the stock price of QuantumScape Co. (NYSE:QS) decreased by 2.9% during midday trading. The shares dropped to a low of $5.77 before settling at $5.96. In total, 18,743,122 shares were exchanged, which represents a notable 96% increase from the average trading volume of 9,572,858 shares. The stock had closed at $6.14 prior to this dip.

Analysts Set New Price Targets

A variety of equity analysts have recently provided their insights regarding QS shares. Deutsche Bank reaffirmed a "hold" rating and established a price target of $6.00 in a research note on September 10th. Wolfe Research initiated coverage on QuantumScape with an "underperform" rating in a note dated September 5th. On October 25th, Truist Financial reiterated a "hold" rating, increasing the target price to $7.00 from $6.00. Similarly, HSBC upgraded its stance from "reduce" to "hold" and set a target price of $5.30 on November 19th. Currently, one analyst recommends a sell, while six suggest holding the stock. According to MarketBeat.com, QuantumScape's consensus rating stands at "Hold" with an average price target of $6.26.

QuantumScape Stock Performance

The market capitalization of QuantumScape is approximately $3.01 billion. The company shows a price-to-earnings ratio of -6.19 and a beta of 4.50. Its debt-to-equity ratio is 0.03, with both the current and quick ratios at 14.07. Notably, the firm has a 50-day simple moving average of $5.17 and a 200-day average of $5.64.

QuantumScape reported its most recent earnings results on October 23rd, indicating a loss of ($0.23) earnings per share (EPS), which fell short of analysts' expectations of ($0.21) by $0.02. In the same quarter of the previous year, the company also reported a loss of ($0.23) EPS. Analysts forecast that QuantumScape will post an EPS of -0.99 for the current fiscal year.

Insider Buying and Selling

In a related matter, Director Jagdeep Singh sold 5,531 shares of company stock on November 14th for an average price of $5.01, totaling approximately $27,710.31. Following this transaction, Singh's direct ownership in QuantumScape has decreased slightly, bringing their total shares owned to 2,590,583, valued at $12,978,820.83. Furthermore, CFO Kevin Hettrich sold 29,667 shares on December 5th for about $151,301.70 at an average price of $5.10, reducing his stake to 1,024,325 shares, now valued at $5,224,057.50. Over the last quarter, company insiders have sold a total of 666,032 shares worth about $3,549,682, with insiders holding approximately 12.03% of the company's stock.

Hedge Funds Weigh In On QuantumScape

Several hedge funds and institutional investors have adjusted their positions regarding QuantumScape recently. Signaturefd LLC increased its stake by 79.9% in the third quarter, owning 4,838 shares valued at $28,000 after acquiring 2,148 additional shares. International Assets Investment Management LLC boosted its holdings by 475.1%, bringing its total shares to 5,118, valued at $29,000 after purchasing 4,228 extra shares in the same quarter. Other institutional investors, including Centaurus Financial, Financial Advocates Investment Management, and Atom Investors LP, made new investments or increased their stake during this timeframe, with institutional ownership now standing at 29.87%.

About QuantumScape

Established in 2010 and headquartered in San Jose, California, QuantumScape Corporation is a research and development stage company that focuses on the innovation and commercialization of solid-state lithium-metal batteries aimed at electric vehicles and various applications.

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