QuantumScape (NYSE:QS) Stock Price Down 6.8% Following Insider Selling

Key Points

• QuantumScape's stock declined by 6.8% to $8.65 following insider trades where both the CEO and a director sold a combined total of approximately 1.5 million shares at prices around $11.60.
• Despite the recent sell-off, research analysts have varying ratings for QuantumScape, with some lowering their price targets significantly, while others maintain a "hold" rating, reflecting uncertainty in the stock's performance.
• Institutional investors currently own 29.87% of QuantumScape, with notable increases in holdings from several firms during the second quarter, indicating ongoing interest in the company.

Shares of QuantumScape Corporation (NYSE:QS - Get Free Report) were down 6.8% on Wednesday after an insider sold shares in the company. The stock traded as low as $8.55 and last traded at $8.65. Approximately 28,794,714 shares changed hands during trading, an increase of 21% from the average daily volume of 23,880,318 shares. The stock had previously closed at $9.28.

Specifically, insider Michael O. Mccarthy III sold 500,000 shares of the business's stock in a transaction on Friday, July 25th. The stock was sold at an average price of $11.60, for a total value of $5,800,000.00. Following the sale, the insider directly 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 sale was disclosed in a filing with the SEC, which is available through the SEC website. Also, Director Fritz Prinz sold 929,813 shares of the business'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 completion of the sale, 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 disclosure for this sale can be found here. In other QuantumScape news, Director Fritz Prinz sold 70,187 shares of the business's stock in a transaction on Friday, July 25th. The stock was sold at an average price of $11.62, for a total value of $815,572.94. Following the sale, the director directly owned 161,343 shares in the company, valued at $1,874,805.66. The trade was a 30.31% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available through the SEC website.

Wall Street Analysts Forecast Growth

Several research firms recently commented on QS. UBS Group cut QuantumScape from a "neutral" rating to a "sell" rating and reduced their target price for the stock from $5.00 to $2.50 in a research report on Thursday, April 10th. TD Cowen upgraded QuantumScape to a "hold" rating in a research report on Monday, July 7th. Robert W. Baird boosted their target price on QuantumScape from $6.00 to $11.00 and gave the stock a "neutral" rating in a research report on Thursday, July 24th. Finally, The Goldman Sachs Group reduced their target price on QuantumScape from $3.00 to $2.50 and set a "sell" rating for the company in a research report on Monday, April 28th. Three research analysts have rated the stock with a sell rating and seven have given a hold rating to the company's stock. According to MarketBeat.com, the company presently has an average rating of "Hold" and an average target price of $5.90.

QuantumScape Price Performance

The business has a fifty day moving average price of $7.09 and a 200-day moving average price of $5.37. The company has a current ratio of 16.40, a quick ratio of 16.66 and a debt-to-equity ratio of 0.03. The stock has a market capitalization of $4.66 billion, a PE ratio of -9.61 and a beta of 4.42.

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

Institutional Investors Weigh In On QuantumScape

A number of hedge funds and other institutional investors have recently modified their holdings of the stock. Vanguard Group Inc. lifted its stake in shares of QuantumScape by 9.0% in the 1st quarter. Vanguard Group Inc. now owns 35,351,974 shares of the company's stock valued at $147,064,000 after acquiring an additional 2,911,362 shares during the last quarter. Geode Capital Management LLC lifted its stake in shares of QuantumScape by 0.5% in the 4th quarter. Geode Capital Management LLC now owns 5,882,031 shares of the company's stock valued at $30,538,000 after acquiring an additional 28,073 shares during the last quarter. Dimensional Fund Advisors LP lifted its stake in shares of QuantumScape by 55.2% in the 4th quarter. Dimensional Fund Advisors LP now owns 5,814,127 shares of the company's stock valued at $30,183,000 after acquiring an additional 2,066,844 shares during the last quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC lifted its stake in shares of QuantumScape by 456.5% in 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 acquiring an additional 3,904,168 shares during the last quarter. Finally, Norges Bank bought a new stake in shares of QuantumScape in the 4th quarter valued at about $17,762,000. Institutional investors 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.