QuantumScape (NYSE:QS) Sees Strong Trading Volume – Still a Buy?

QuantumScape Co. (NYSE:QS) saw strong trading volume on Thursday . 4,444,048 shares traded hands during trading, a decline of 53% from the previous session’s volume of 9,411,777 shares.The stock last traded at $5.63 and had previously closed at $5.37.

Wall Street Analysts Forecast Growth

QS has been the subject of several research analyst reports. Truist Financial reaffirmed a “hold” rating and set a $7.00 price target (up previously from $6.00) on shares of QuantumScape in a research report on Friday, October 25th. Deutsche Bank Aktiengesellschaft reiterated a “hold” rating and issued a $6.00 price target on shares of QuantumScape in a report on Tuesday, September 10th. Wolfe Research initiated coverage on QuantumScape in a research note on Thursday, September 5th. They set an “underperform” rating on the stock. HSBC raised 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. Finally, Hsbc Global Res upgraded shares of QuantumScape to a “hold” rating in a research note on Tuesday, November 19th. 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, the stock currently has a consensus rating of “Hold” and a consensus target price of $6.26.

QuantumScape Price Performance

The stock has a market capitalization of $3.06 billion, a P/E ratio of -6.28 and a beta of 4.50. The company has a 50 day moving average of $5.15 and a 200-day moving average of $5.64. The company has a quick ratio of 14.07, a current ratio of 14.07 and a debt-to-equity ratio of 0.03.

QuantumScape (NYSE:QS) last announced its quarterly earnings results on Wednesday, October 23rd. The company reported ($0.23) earnings per share (EPS) for the quarter, missing the consensus estimate of ($0.21) by ($0.02). During the same period last year, the company earned ($0.23) earnings per share. Sell-side analysts predict that QuantumScape Co. will post -0.99 EPS for the current year.

Insider Activity at QuantumScape

In other news, Director Jagdeep Singh sold 5,531 shares of the company’s stock in a transaction dated Thursday, November 14th. The stock was sold at an average price of $5.01, for a total value of $27,710.31. Following the transaction, the director now owns 2,590,583 shares in the company, valued at $12,978,820.83. This represents a 0.21 % decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, CFO Kevin Hettrich sold 34,607 shares of the business’s stock in a transaction on Wednesday, October 9th. The shares were sold at an average price of $5.49, for a total transaction of $189,992.43. Following the transaction, the chief financial officer now owns 1,073,022 shares in the company, valued at approximately $5,890,890.78. This represents a 3.12 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold 666,032 shares of company stock valued at $3,549,682 over the last 90 days. 12.03% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

A number of hedge funds have recently made changes to their positions in the stock. Bank of New York Mellon Corp raised its position 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 valued at $4,579,000 after purchasing an additional 11,897 shares during the period. Financial Advocates Investment Management acquired a new stake in shares of QuantumScape in the second quarter valued at about $58,000. Commonwealth Equity Services LLC increased its stake in shares of QuantumScape by 2.6% in the second quarter. Commonwealth Equity Services LLC now owns 367,887 shares of the company’s stock worth $1,810,000 after purchasing an additional 9,290 shares during the period. CIBC Asset Management Inc acquired a new position in shares of QuantumScape during the 2nd quarter worth about $61,000. Finally, Arizona State Retirement System boosted its stake in QuantumScape by 4.6% during the 2nd quarter. Arizona State Retirement System now owns 98,800 shares of the company’s stock valued at $486,000 after purchasing an additional 4,330 shares during the period. 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.