QuantumScape (NYSE:QS) Stock Price Down 6.2% Following Insider Selling

Key Points

• QuantumScape's shares fell by 6.2% after insider sales, including the sale of 929,813 shares by Director Fritz Prinz, which significantly decreased his ownership of the stock.
• Following the insider selling, analyst ratings for QuantumScape have varied, with some firms increasing their price targets while others downgraded their ratings, reflecting a mix of cautious and optimistic sentiment.
• The company’s recent earnings report showed a loss matching analysts' estimates, with expectations for further losses in the upcoming year, as analysts predict -0.82 earnings per share.

QuantumScape Corporation (NYSE:QS - Get Free Report)'s stock price fell 6.2% during mid-day trading on Monday following insider selling activity. The stock traded as low as $11.08 and last traded at $11.23. 22,685,879 shares were traded during trading, a decline of 2% from the average session volume of 23,232,033 shares. The stock had previously closed at $11.97.

Specifically, Director Fritz Prinz sold 929,813 shares of the firm's stock in a transaction that occurred on Friday, July 25th. The shares were sold at an average price of $11.62, for a total transaction of $10,804,427.06. Following the transaction, the director directly owned 161,343 shares of the company's stock, valued at approximately $1,874,805.66. This trade represents a 85.21% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, Director Fritz Prinz sold 70,187 shares of QuantumScape stock in a transaction that occurred on Friday, July 25th. The shares were sold at an average price of $11.62, for a total transaction of $815,572.94. Following the completion of the transaction, the director directly owned 161,343 shares in the company, valued at $1,874,805.66. This trade represents a 30.31% decrease in their ownership of the stock. The disclosure for this sale can be found here.

Analysts Set New Price Targets

QS has been the topic of a number of recent analyst reports. The Goldman Sachs Group decreased their price objective on shares of QuantumScape from $3.00 to $2.50 and set a "sell" rating on the stock in a research note on Monday, April 28th. Robert W. Baird boosted their target price on shares of QuantumScape from $6.00 to $11.00 and gave the stock a "neutral" rating in a research note on Thursday, July 24th. TD Cowen raised shares of QuantumScape to a "hold" rating in a research note on Monday, July 7th. Finally, UBS Group cut shares of QuantumScape from a "neutral" rating to a "sell" rating and decreased their target price for the stock from $5.00 to $2.50 in a research note on Thursday, April 10th. Three research analysts have rated the stock with a sell rating and seven have given a hold rating to the company. According to data from MarketBeat.com, QuantumScape presently has an average rating of "Hold" and a consensus price target of $5.90.

QuantumScape Trading Down 2.1%

The firm has a market cap of $4.80 billion, a price-to-earnings ratio of -10.00 and a beta of 4.42. The company has a debt-to-equity ratio of 0.03, a current ratio of 16.40 and a quick ratio of 16.66. The firm's fifty day moving average is $7.00 and its 200-day moving average is $5.35.

QuantumScape (NYSE:QS - Get Free Report) last released its earnings results on Wednesday, July 23rd. The company reported ($0.20) earnings per share (EPS) for the quarter, meeting the consensus estimate of ($0.20). The firm had revenue of $36.67 million during the quarter. During the same quarter last year, the firm posted ($0.25) EPS. Equities analysts anticipate that QuantumScape Corporation will post -0.82 earnings per share for the current year.

Hedge Funds Weigh In On QuantumScape

Hedge funds and other institutional investors have recently bought and sold shares of the company. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC increased its stake in QuantumScape by 456.5% in the first quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 4,759,334 shares of the company's stock valued at $19,799,000 after purchasing an additional 3,904,168 shares in the last quarter. Norges Bank bought a new stake in QuantumScape in the fourth quarter valued at $17,762,000. Vanguard Group Inc. increased its stake in QuantumScape by 9.0% in the first quarter. Vanguard Group Inc. now owns 35,351,974 shares of the company's stock valued at $147,064,000 after purchasing an additional 2,911,362 shares in the last quarter. Dimensional Fund Advisors LP increased its stake in QuantumScape by 55.2% in the fourth quarter. Dimensional Fund Advisors LP now owns 5,814,127 shares of the company's stock valued at $30,183,000 after purchasing an additional 2,066,844 shares in the last quarter. Finally, Nuveen LLC bought a new stake in shares of QuantumScape during the first quarter worth about $2,819,000. Institutional investors and hedge funds own 29.87% of the company's stock.

About QuantumScape

QuantumScape Corporation, a research and development stage company, focuses on the development and commercialization of solid-state lithium-metal batteries for electric vehicles and other applications. The company was founded in 2010 and is headquartered in San Jose, California.