QuantumScape (NYSE:QS) Trading Up 3.4% - Here's What Happened

Key Points

• QuantumScape's stock price rose by 3.4% to $8.14, although trading volume decreased significantly to 5.85 million shares, a 76% drop from its average.
• Analysts have mixed views on the stock, with Robert W. Baird raising the target price to $11.00, while Goldman Sachs lowered its target to $2.50 and issued a "sell" rating.
• Insider trading activity has been notable, with significant shares sold by directors, including a total of approximately $14 million in sales over the past ninety days.

QuantumScape Corporation (NYSE:QS - Get Free Report)'s share price traded up 3.4% during mid-day trading on Friday . The company traded as high as $8.19 and last traded at $8.14. 5,853,582 shares were traded during mid-day trading, a decline of 76% from the average session volume of 24,258,799 shares. The stock had previously closed at $7.87.

Analyst Ratings Changes

A number of research analysts recently issued reports on the company. The Goldman Sachs Group cut their price target on QuantumScape from $3.00 to $2.50 and set a "sell" rating for the company in a report on Monday, April 28th. Robert W. Baird lifted their price target on QuantumScape from $6.00 to $11.00 and gave the company a "neutral" rating in a report on Thursday, July 24th. Finally, TD Cowen raised QuantumScape to a "hold" rating in a report on Monday, July 7th. Seven research analysts have rated the stock with a Hold rating and three have given a Sell rating to the stock. According to MarketBeat.com, the company currently has an average rating of "Reduce" and a consensus price target of $5.90.

QuantumScape Price Performance

The company has a debt-to-equity ratio of 0.03, a quick ratio of 16.40 and a current ratio of 16.40. The company has a 50 day simple moving average of $8.59 and a 200 day simple moving average of $5.78.

QuantumScape (NYSE:QS - Get Free Report) last issued its earnings results on Wednesday, July 23rd. The company reported ($0.20) EPS for the quarter, hitting the consensus estimate of ($0.20). The business had revenue of $36.67 million for the quarter. During the same period last year, the firm posted ($0.25) earnings per share. On average, sell-side analysts predict that QuantumScape Corporation will post -0.82 earnings per share for the current year.

Insider Buying and Selling

In related news, insider Mohit Singh sold 465,000 shares of the company's stock in a transaction that occurred on Tuesday, July 8th. The stock was sold at an average price of $8.21, for a total value of $3,817,650.00. Following the sale, the insider directly owned 1,641,711 shares in the company, valued at $13,478,447.31. This represents a 22.07% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available at this hyperlink. Also, insider Michael O. Mccarthy III sold 500,000 shares of the company's stock in a transaction that occurred on Friday, July 25th. The shares were sold at an average price of $11.60, for a total value of $5,800,000.00. Following the completion of the sale, the insider owned 1,467,183 shares in the company, valued at $17,019,322.80. The trade was a 25.42% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last three months, insiders have sold 3,956,517 shares of company stock valued at $34,977,013. Insiders own 5.48% of the company's stock.

Institutional Investors Weigh In On QuantumScape

A number of institutional investors and hedge funds have recently bought and sold shares of QS. Signaturefd LLC grew its stake in shares of QuantumScape by 2,086.1% during the 1st quarter. Signaturefd LLC now owns 6,121 shares of the company's stock worth $25,000 after acquiring an additional 5,841 shares during the period. Russell Investments Group Ltd. grew its stake in shares of QuantumScape by 685.5% during the 2nd quarter. Russell Investments Group Ltd. now owns 3,794 shares of the company's stock worth $25,000 after acquiring an additional 3,311 shares during the period. Heck Capital Advisors LLC bought a new position in QuantumScape in the 4th quarter worth about $26,000. Federated Hermes Inc. boosted its stake in QuantumScape by 660.0% in the 1st quarter. Federated Hermes Inc. now owns 6,262 shares of the company's stock worth $26,000 after purchasing an additional 5,438 shares during the period. Finally, Hollencrest Capital Management boosted its stake in QuantumScape by 333.3% in the 1st quarter. Hollencrest Capital Management now owns 6,500 shares of the company's stock worth $27,000 after purchasing an additional 5,000 shares during the period. 29.87% of the stock is owned by hedge funds and other institutional investors.

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.