QuantumScape (NYSE:QS) Trading Down 2% - Here's What Happened

Key Points

• QuantumScape's stock price fell by 2% to $7.76, with a significant trading volume decline of 77% compared to its average daily volume.
• The company has received mixed ratings from analysts, with a current consensus rating of "Reduce" and an average price target of $5.90.
• Insiders have sold a substantial amount of QuantumScape shares, with over 4 million shares worth approximately $35 million sold in the last quarter.

Shares of QuantumScape Corporation (NYSE:QS - Get Free Report) dropped 2% during trading on Wednesday . The company traded as low as $7.65 and last traded at $7.76. Approximately 5,559,867 shares traded hands during mid-day trading, a decline of 77% from the average daily volume of 24,405,266 shares. The stock had previously closed at $7.91.

Analysts Set New Price Targets

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

QuantumScape Stock Performance

The company has a current ratio of 16.40, a quick ratio of 16.40 and a debt-to-equity ratio of 0.03. The stock has a fifty day moving average price of $8.52 and a 200-day moving average price of $5.76. The firm has a market capitalization of $4.62 billion, a price-to-earnings ratio of -9.48 and a beta of 4.43.

QuantumScape (NYSE:QS - Get Free Report) last issued its earnings results on Wednesday, July 23rd. The company reported ($0.20) earnings per share (EPS) for the quarter, hitting analysts' consensus estimates of ($0.20). The company had revenue of $36.67 million during the quarter. During the same period in the previous year, the firm posted ($0.25) earnings per share. As a group, analysts anticipate that QuantumScape Corporation will post -0.82 earnings per share for the current fiscal year.

Insider Buying and Selling

In related news, insider Michael O. Mccarthy III sold 500,000 shares of the firm's stock in a transaction on Friday, July 25th. The stock was sold at an average price of $11.60, for a total transaction of $5,800,000.00. Following the completion of the sale, the insider directly owned 1,467,183 shares of the company's stock, valued at $17,019,322.80. This trade represents a 25.42% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, Director Fritz Prinz sold 929,813 shares of the firm's stock in a transaction on Friday, July 25th. The shares were sold at an average price of $11.62, for a total value of $10,804,427.06. Following the sale, the director directly owned 161,343 shares of the company's stock, valued at $1,874,805.66. This represents a 85.21% decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last quarter, insiders sold 3,956,517 shares of company stock valued at $34,977,013. 5.48% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On QuantumScape

A number of hedge funds and other institutional investors have recently bought and sold shares of the business. Vanguard Group Inc. increased its holdings in QuantumScape by 9.0% during the 1st 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. Geode Capital Management LLC increased its holdings in QuantumScape by 12.5% during the 2nd quarter. Geode Capital Management LLC now owns 6,914,680 shares of the company's stock valued at $46,475,000 after purchasing an additional 768,070 shares in the last quarter. Dimensional Fund Advisors LP increased its holdings in QuantumScape by 55.2% during the 4th 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. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC increased its holdings in QuantumScape by 456.5% during the 1st 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. Finally, Bank of America Corp DE increased its holdings in QuantumScape by 148.0% during the 2nd quarter. Bank of America Corp DE now owns 2,803,989 shares of the company's stock valued at $18,843,000 after purchasing an additional 1,673,472 shares in the last quarter. 29.87% of the stock is owned by institutional investors and hedge funds.

QuantumScape Company Profile

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.