2024-01-19 12:56:54 ET
QuantumScape ( NYSE: QS ) shares were on track for its eighth consecutive sessions of losses on Friday, as the stock fell nearly 3% to $6.43 in afternoon trade.
The San Jose California-based U.S. startup lost about 22% in the preceding seven sessions. The stock has lost more than 10% in the last one year, compared to the over 20% rise of the broader S&P 500 Index.
QS, which has a market valuation of over $3 billion, was down 15% over the past one month. The stock closed 0.6% lower on Thursday at $6.61. Short interest on QS stands at 16.02% of the total float.
Looking at Seeking Alpha's Quant Rating, QS has a Hold rating with a score of 2.72 out of 5. The company received C for growth, while it managed a D- in the prospect of profitability and a D+ in momentum.
Turning to the Wall Street community, one analyst gave QS a Strong Buy. Six analysts have given the stock a Hold recommendation, and three recommended Sell or lower.
Seeking Alpha analysts are also cautious and see the stock as a Hold.
HSBC recently started off coverage on QuantumScape with a Reduce rating due to the long road ahead seen for the company to make it to profitability. The brokerage also said that QS is not expected to generate meaningful revenue until 2027 or positive free cash flow until 2031.
Earlier this month, the company reached an important milestone in a test of its anodeless solid-state lithium-metal cells technology by Volkswagen.
Seeking Alpha analyst Dilantha De Silva pointed out that QuantumScape’s recent test results show the potential of solid-state batteries in terms of energy density and durability but “the company is still far from mass production, facing challenges in scaling up production and maintaining cost-efficiency and quality.”
More on QuantumScape
- QuantumScape Stock: Curb Your Enthusiasm About Volkswagen's Test Results
- QuantumScape: Flush With Cash And Building Futuristic Solid-State Batteries, A Buy For 2024?
- QuantumScape skyrockets after dazzling with Volkswagen battery test
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QuantumScape set for eighth straight sessions of losses