QuantumScape (NYSE:QS) Shares Down 6.2% on 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 share price fell 6.2% during mid-day trading on Monday after an insider sold shares in the company. The company traded as low as $11.08 and last traded at $11.23. 22,685,879 shares changed hands 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 QuantumScape stock in a transaction dated 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 completion of the transaction, the director owned 161,343 shares in the company, valued at approximately $1,874,805.66. The trade was a 85.21% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is accessible through this link. Also, Director Fritz Prinz sold 70,187 shares of the business's stock in a transaction that occurred on Friday, July 25th. The stock was sold at an average price of $11.62, for a total transaction of $815,572.94. Following the sale, the director owned 161,343 shares of the company's stock, valued at approximately $1,874,805.66. This represents a 30.31% decrease in their ownership of the stock. The disclosure for this sale can be found here.

Analyst Ratings Changes

A number of analysts have weighed in on the stock. Robert W. Baird increased their target price on shares of QuantumScape from $6.00 to $11.00 and gave the stock a "neutral" rating in a report on Thursday. The Goldman Sachs Group dropped their target price on shares of QuantumScape from $3.00 to $2.50 and set a "sell" rating on the stock in a report on Monday, April 28th. TD Cowen raised shares of QuantumScape to a "hold" rating in a report on Monday, July 7th. Finally, UBS Group cut shares of QuantumScape from a "neutral" rating to a "sell" rating and dropped their target price for the stock from $5.00 to $2.50 in a report on Thursday, April 10th. Three investment analysts have rated the stock with a sell rating and seven have given a hold rating to the company. Based on data from MarketBeat.com, QuantumScape currently has a consensus rating of "Hold" and an average price target of $5.90.

QuantumScape Stock Performance

The firm's 50 day moving average price is $6.66 and its 200-day moving average price is $5.26. The firm has a market cap of $6.28 billion, a price-to-earnings ratio of -13.08 and a beta of 4.42. The company has a debt-to-equity ratio of 0.03, a current ratio of 16.66 and a quick ratio of 16.66.

QuantumScape (NYSE:QS - Get Free Report) last posted its quarterly earnings results on Wednesday, July 23rd. The company reported ($0.20) earnings per share for the quarter, hitting analysts' consensus estimates of ($0.20). The business had revenue of $36.67 million for the quarter. During the same quarter in the prior year, the company earned ($0.25) EPS. On average, analysts anticipate that QuantumScape Corporation will post -0.82 earnings per share for the current year.

Institutional Investors Weigh In On QuantumScape

A number of institutional investors have recently bought and sold shares of QS. Raymond James Financial Inc. bought a new stake in shares of QuantumScape in the 4th quarter worth about $1,527,000. Xponance Inc. grew its holdings in shares of QuantumScape by 17.8% in the 4th quarter. Xponance Inc. now owns 15,862 shares of the company's stock worth $82,000 after purchasing an additional 2,400 shares during the last quarter. American Century Companies Inc. grew its holdings in shares of QuantumScape by 1,091.5% in the 4th quarter. American Century Companies Inc. now owns 432,455 shares of the company's stock worth $2,244,000 after purchasing an additional 396,160 shares during the last quarter. KLP Kapitalforvaltning AS bought a new stake in shares of QuantumScape in the 4th quarter worth about $403,000. Finally, Vanguard Group Inc. grew its holdings in shares of QuantumScape by 3.0% in the 4th quarter. Vanguard Group Inc. now owns 32,440,612 shares of the company's stock worth $168,367,000 after purchasing an additional 956,072 shares during the last quarter. 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.

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