One company that is getting an incredible amount of rate of interest today is QuantumScape (NYSE: QS). Shares of this solid-state battery producer have soared greater than 7% at the time of writing, on unusually high quantity. For investors in qs stock price quantumscape, this relocation is a welcome reprieve from the or else adverse cost activity seen over the past year.
Indeed, over the past year, shares of QS stock have given up virtually 60% of their worth.
Much of the sentiment around solid-state batteries has changed dramatically over the past year. Why? Well, capitalists appear to be lowering their expectations regarding when this modern technology will certainly be viable. To put it simply, even fans of the game-changing innovation that QuantumScape concentrates on think that it may take time.
As necessary, expectations of future capital development are increasingly being pushed out right into more years, a reality that does not square well with increasing interest rates.
Where Do Experts Think QS Stock Is Headed?
For referral, QS stock currently trades at $18.60.
– JPMorgan’s Jose Asumendi lately reiterated a “hold” ranking on QS stock, with a rate target of $27 per share.
– Adam Jonas of Morgan Stanley also repeated an “equal weight” ranking, reducing his rate target to $30 from $40 for QS stock.
– Finally, Baird analyst George Gianarikas preserved a “hold” rating, with a $20 cost target on this stock.
Why QuantumScape Stock Suddenly Leapt Monday Afternoon
QuantumScape (QS 6.88%) stock soared greater by as much as 12.8% Monday afternoon before regulating to close the session up by 6.8%. The abrupt jump in the stock price can be attributed to a post released by German service monthly Supervisor Magazin that fueled speculation concerning a possible partnership in between QuantumScape and a deluxe car manufacturer.
QuantumScape is developing multilayer solid-state lithium metal battery cells that are supposedly better than the lithium-ion batteries that presently power most electric vehicles (EVs) on numerous matters, consisting of power density, effectiveness, billing rate, price, as well as security.
An individual using a cellphone while waiting to charge electric car.
Photo source: Getty Images.
According to the Supervisor Magazin post, Volkswagen’s (VWAGY 2.12%) high-end brand Porsche, best recognized for its 911 cars, is apparently developing an electrical variation of the 911 that might use solid-state batteries, as well as is collaborating with QuantumScape to supply them.
Although neither QuantumScape nor Porsche have actually verified anything yet, capitalists were probably betting on this report confirming true, given the business’s enduring partnership with Volkswagen.
In 2021, QuantumScape received an extra $100 million worth of financing from Volkswagen after its battery cells fulfilled the automaker’s technological landmark needs in laboratory examinations. Both business have additionally signed a contract to collectively develop a solid-state battery pilot-line center.
QuantumScape doesn’t expect to start commercial production of its batteries prior to 2024. Yet financiers have wagered big on the stock, and also the support of Volkswagen develops a crucial part of the investment thesis for the EV battery start-up.