QuantumScape (NYSE:QS) Stock Price Down 5.5% – Should You Sell?

QuantumScape Co. (NYSE:QS) dropped 5.5% during mid-day trading on Wednesday . The stock traded as low as $5.14 and last traded at $5.19. Approximately 17,812,332 shares traded hands during mid-day trading, an increase of 84% from the average daily volume of 9,691,576 shares. The stock had previously closed at $5.49.

Analyst Upgrades and Downgrades

A number of research analysts recently weighed in on the stock. HSBC raised shares of QuantumScape from a “reduce” rating to a “hold” rating and set a $5.30 price target on the stock in a research report on Tuesday, November 19th. Wolfe Research began coverage on QuantumScape in a report on Thursday, September 5th. They issued an “underperform” rating for the company. Hsbc Global Res raised QuantumScape to a “hold” rating in a research report on Tuesday, November 19th. Deutsche Bank Aktiengesellschaft restated a “hold” rating and issued a $6.00 price objective on shares of QuantumScape in a research note on Tuesday, September 10th. Finally, Truist Financial reiterated a “hold” rating and set a $7.00 target price (up from $6.00) on shares of QuantumScape in a research note on Friday, October 25th. One analyst has rated the stock with a sell rating and six have assigned a hold rating to the stock. Based on data from MarketBeat, QuantumScape currently has an average rating of “Hold” and an average price target of $6.26.

QuantumScape Stock Up 6.7 %

The company has a quick ratio of 14.07, a current ratio of 14.07 and a debt-to-equity ratio of 0.03. The stock has a 50-day simple moving average of $5.18 and a 200-day simple moving average of $5.64. The firm has a market capitalization of $2.84 billion, a PE ratio of -5.83 and a beta of 4.50.

QuantumScape (NYSE:QS) last announced its quarterly earnings data on Wednesday, October 23rd. The company reported ($0.23) earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of ($0.21) by ($0.02). During the same quarter last year, the company posted ($0.23) earnings per share. Analysts forecast that QuantumScape Co. will post -0.99 EPS for the current year.

Insider Activity at QuantumScape

In other news, insider Mohit Singh sold 97,305 shares of the company’s stock in a transaction dated Friday, December 27th. The stock was sold at an average price of $6.24, for a total transaction of $607,183.20. Following the sale, the insider now directly owns 1,092,020 shares in the company, valued at $6,814,204.80. This represents a 8.18 % decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available at this link. Also, Director Fritz Prinz sold 12,908 shares of the firm’s stock in a transaction that occurred on Thursday, November 21st. The shares were sold at an average price of $5.04, for a total transaction of $65,056.32. Following the completion of the transaction, the director now owns 241,195 shares of the company’s stock, valued at $1,215,622.80. This trade represents a 5.08 % decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last ninety days, insiders have sold 763,337 shares of company stock worth $4,156,865. 12.03% of the stock is owned by corporate insiders.

Institutional Trading of QuantumScape

Hedge funds and other institutional investors have recently bought and sold shares of the company. Bank of New York Mellon Corp increased its holdings in shares of QuantumScape by 1.3% in the second quarter. Bank of New York Mellon Corp now owns 930,614 shares of the company’s stock worth $4,579,000 after purchasing an additional 11,897 shares during the period. Commonwealth Equity Services LLC raised its holdings in shares of QuantumScape by 2.6% in the 2nd quarter. Commonwealth Equity Services LLC now owns 367,887 shares of the company’s stock valued at $1,810,000 after acquiring an additional 9,290 shares in the last quarter. CIBC Asset Management Inc bought a new stake in shares of QuantumScape during the 2nd quarter valued at about $61,000. Arizona State Retirement System grew its holdings in shares of QuantumScape by 4.6% during the second quarter. Arizona State Retirement System now owns 98,800 shares of the company’s stock worth $486,000 after purchasing an additional 4,330 shares in the last quarter. Finally, Ground Swell Capital LLC bought a new position in shares of QuantumScape in the second quarter worth approximately $95,000. 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.