Is QuantumScape a Buy, Sell, or Hold for July 2025?
Since then, the shares have rocketed by 58% over the past five sessions as Cobra supposedly delivers up to 25x faster heat treatment speeds and requires significantly less equipment footprint per separator than its previous generation Raptor system.
Jeff Bezos Unloads $5.4B in Amazon Shares: Should You Buy or Sell AMZN Stock Now?
Elon Musk's Tesla Makes History With 'First Time That a Car Has Delivered Itself to Its Owner'
This Defense Stock Could Be the Next Palantir. Should You Buy It Now?
Get exclusive insights with the FREE Barchart Brief newsletter. Subscribe now for quick, incisive midday market analysis you won't find anywhere else.
But is this a reason enough to load up on the company's stock, and can this searing rally continue? Let's have a closer look.
Founded in 2010, QuantumScape (QS) is known for developing next-gen solid-state lithium-metal batteries for EVs, offering higher energy density, faster charging, and improved safety over traditional lithium-ion cells. Backed by marquee investors such as Bill Gates and Qatar Investment Authority, auto major Volkswagen (VWAGY) also holds a material stake in the company.
Valued at a market cap of $3.7 billion, QS stock is up 29.8% on a year-to-date basis.
QuantumScape operates in an industry that requires heavy capital expenditure, particularly on research and development. Thus, its unprofitable nature may yet to be a major concern. However, the company is still in the pre-revenue stage, which is undesirable. Moreover, according to the company's latest quarterly results, the path towards revenue generation is not 100% clear, with only field testing of its platform slated to begin in 2026.
However, QuantumScape has been consistently narrowing its losses. Q1 2025 saw the company report a loss of $0.21 per share, lower than the prior year's figure of $0.24 per share. Loss from operations also came in lower at $123.6 million, compared to $131.9 million in the year-ago period.
Net cash used in operating activities increased to $60.7 million from $57.9 million in the previous year. Overall, QuantumScape remains in a comfortable liquidity position with a cash balance of $153.5 million. This was way above its short-term debt levels of about $9 million.
The integration of Cobra into the baseline cell production is perhaps the shot in the arm QuantumScape needed. Notably, QuantumScape has unveiled a major advance in its manufacturing capabilities with the introduction of its Cobra separator system, which operates at a speed 25 times faster than the model it replaces, while using considerably less floor space. This breakthrough shifts the economics of production, allowing the company to realistically pursue battery output at the gigawatt-hour scale. This was previously constrained by cost and throughput limitations.
This manufacturing innovation feeds directly into QuantumScape's QSE-5 platform, which represents its most developed solid-state battery architecture to date. These cells are designed around a lithium-metal format that does away with the traditional anode, enabling an energy density greater than 800 watt-hours per liter. The batteries also boast a significant advantage in charging speed, reaching from 10% to 80% state of charge in just under a quarter of an hour. Overall, the company's broader aim is to deliver a solution that's smaller, lighter, and capable of extending range, all while reducing the time required to recharge.
QuantumScape has strengthened its position through strategic collaborations. It has formed key partnerships with two major players: Volkswagen, a leading global automaker, and Murata (MRAAY), a well-established manufacturer of electronic components and ceramics. Through its PowerCo division, Volkswagen has entered into a non-exclusive licensing agreement to produce up to 40 gigawatt-hours of battery cells annually using QuantumScape's technology. In parallel, Murata is expected to support the Cobra process by leveraging its expertise in high-precision ceramics and its worldwide manufacturing footprint.
QuantumScape's alignment with a global automotive leader like Volkswagen positions it advantageously for the decade ahead. Furthermore, the company is actively pursuing additional licensing arrangements, indicating that its ambitions extend well beyond its current roster of collaborators.
QuantumScape remains in an interesting space. While it aims to upend the battery industry, practical concerns such as commercialization of its products and eventual revenue generation make investing in the company fraught with risk.
Overall, analysts have attributed a rating of 'Hold' to QS stock with a mean target price that has already been surpassed. However, the $8 Street-high price target denotes upside potential of about 20% from current levels. Out of eight analysts covering the stock, one has a 'Strong Buy' rating, four have a 'Hold' rating, and three have a 'Strong Sell' rating.
On the date of publication, Pathikrit Bose did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. This article was originally published on Barchart.com
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Yahoo
28 minutes ago
- Yahoo
Brad Pitt's F1 movie uses Daytona, Rolex 24 and IMSA as a launch pad
There are two ways to look at the opening moments of Brad Pitt's newly released F1 racing movie. For locals, particularly those who spent week after week after week passing the filming location on U.S. 1 in New Smyrna Beach, you have to marvel at the modern Hollywood budget. All those people, all that time, for just 10-plus minutes at the start of the movie? But for one specific local, you can't put a dollar figure on the high-octane salvos that actually preceded the opening credits of 'F1 the Movie.' David Pettit is senior vice president, marketing and business operations, for Daytona Beach-based IMSA, the sports-car arm of NASCAR whose properties include the Rolex 24 at Daytona. As the movie was hitting theaters nationwide late last week, Pettit was coming off a splashy premiere in New York City that included lots of promotional work in Times Square (what Pettit's world refers to as 'consumer activation'). Shortly thereafter, he had a phone call with a potential IMSA client, headquartered in New York, who confessed he wasn't too familiar with IMSA or sports-car racing. 'So I said, 'You're in New York City, right? Did you see all the hubbub about the F1 movie?'' Pettit recalls. 'They said, 'Can't wait to see that.' And I said, 'Well, the opening 12½ minutes were shot in Daytona, and the racing you see is our product.' It's a way to introduce the product to another audience, and for me, that's what excited me the most.' Proving that deadlines are as flexible as budgets in Hollywood, original talks between movie producers and the Daytona folks date back to 2022. Those talks eventually led to Brad Pitt and dozens upon dozens of production workers making camp at Daytona and New Smyrna Beach in early 2024. They found, for their needs, the perfect off-track setting at the old Pappas restaurant and next-door laundromat in NSB. For on-track needs, Daytona International Speedway and the 2024 Rolex 24 were put to use in grand fashion — the Rolex served as another one-off race (and victory, of course) for Pitt's character, Sonny Hayes, a gun-for-hire hot-rodder who soon thereafter was invited to fill a Formula One seat. Fun little factoid: In the movie, there's some Rolex signage, but the race in that opening sequence is called by its long-ago name — the 24 Hours of Daytona. Why? Probably because the long real-world partnership between Rolex and F1 ended after the 2024 season, with TAG Heuer now serving as official timekeeper of F1. Soon after Sonny Hayes leaves Daytona's Victory Lane and hits the road in his custom Ford Econoline van, the opening credits finally roll and the stage shifts to the flashy playgrounds of Formula One. 'The rest of the movie was high-production, high-value, but selfishly, I think the first 10 minutes was arguably the best part of the movie,' Frank Kelleher says. Of course he does, and he should. As president of Daytona International Speedway, he has a rooting interest. 'The gravity of the people, the resources, the equipment, the level of perfection they were seeking over the course of four to six weeks here in Daytona … for the first 10 minutes of the movie, it's really mind-blowing,' Kelleher says. 'But when you take a step further into that reality of the first 10 minutes of any film, that's where it's going to sink its claws into you, and you're going to get interested in it, or not. They had to stick the landing on those first 10 minutes, and I think they should be really proud of their finished product.' Pettit saw the movie twice before it was released — first at Radio City Music Hall in NYC, then west of there at Watkins Glen, where an IMSA race weekend included a showing for the race teams and others. 'The first time I watched it, it was very difficult because I was looking at all of the detail,' Pettis says. 'The second time, I actually just got to sit there and watch it. I enjoyed it. There's a lot of drama, so if you suspend belief a little bit and just enjoy it, it's really good.' In other words, overlook the fact racers don't climb into a Rolex 24 car before midnight and drive all the way through to sunrise — as Sonny Hayes did five minutes after he was awakened in his van. 'You can't get into the technical parts of it because it's a Hollywood production and that's OK,' Pettis says. 'But overall, from the fact that IMSA and the Rolex 24 and Daytona got to be the opening — basically the trailer to the F1 movie — was spectacular. 'They really separated us from F1 in the movie, and I appreciate why they did that. We had a lot of brand presence — Daytona, Rolex 24, WeatherTech Championship, Michelin. You want more, but on the other hand, given it was an F1 movie, I was very pleased with what we got out of it.' — Email Ken Willis at This article originally appeared on The Daytona Beach News-Journal: F1 the Movie: Daytona, Rolex 24 turn the early laps with Brad Pitt
Yahoo
38 minutes ago
- Yahoo
Ohio State Patrol wants your vote for best looking cruiser in the U.S.
COLUMBUS — The Ohio State Highway Patrol is asking for help from Ohioans as it once again competes for the title of "Best Looking Cruiser." According to an announcement, the American Association of State Troopers hosts the annual contest where state police agencies submit photos of their patrol vehicles. The top 13 photos, determined by the public, will be featured in the AAST's annual calendar. This contest promotes friendly competition among law enforcement agencies nationwide and helps agencies connect with their communities. The Patrol's cruiser, along with the Flying Wheel logo, symbolizes its commitment to providing unbiased and professional public safety services, according to the announcement. Voting is open now and will close at 5 p.m. on July 11. To cast your vote, visit the contest webpage and click the 'Vote Here' link. Then, scroll down to find the Patrol's photo and vote. Participants can vote once per day per device, so it is recommended to bookmark the page and vote daily for the best chance to win. Voters may need to clear their browser's cache and cookies each day to ensure their votes are counted. This story was created by Jane Imbody, jimbody@ with the assistance of Artificial Intelligence (AI). Journalists were involved in every step of the information gathering, review, editing and publishing process. Learn more at This article originally appeared on Mansfield News Journal: Ohio troopers need your help to win national cruiser photo contest
Yahoo
38 minutes ago
- Yahoo
This Ivy League student sent a DOGE-style email to 3,805 employees as school costs top $90,000 per year
Moneywise and Yahoo Finance LLC may earn commission or revenue through links in the content below. With the annual price of attending Brown University approaching six figures, sophomore Alex Shieh wanted to know where all that money was going. In particular, he wanted to know what the school's thousands of non-faculty employees were doing each day. So, he sent them a DOGE-style email asking that exact question. Now, he's facing disciplinary action. 'The inspiration for this is the rising cost of tuition,' Shieh told Fox News in a story published April 4. 'Next year, it's set to be $93,064 to go to Brown.' Thanks to Jeff Bezos, you can now become a landlord for as little as $100 — and no, you don't have to deal with tenants or fix freezers. Here's how I'm 49 years old and have nothing saved for retirement — what should I do? Don't panic. Here are 4 of the easiest ways you can catch up (and fast) You don't have to be a millionaire to gain access to this $1B private real estate fund. In fact, you can get started with as little as $10 — here's how This figure reflects the direct costs associated with attending Brown for one year, as shown on the school's website, including tuition, fees and allowances for food and housing. First-time students are billed an extra $100. Brown's undergraduate enrollment stands at 7,272. To illustrate what he saw as administrative bloat, Shieh compiled a database of 3,805 non-faculty employees, according to Fox News. In an email similar to those sent by Elon Musk's Department of Government Efficiency to federal workers, he asked them: 'What do you do all day?' Shieh says only 20 people responded — some with profane replies — and soon after the university moved to discipline him. "Brown is charging me for misrepresentation — for saying I am affiliated with The Brown Spectator," Shieh said in a follow-up story published by Fox News on April 30. In his emails, Shieh identified himself as a journalist for The Spectator — a long-inactive student journal that Shieh claims he and other students are trying to bring back. 'Brown is also charging me for violating their IT policies for publishing Brown employee data,' Shieh said. A website was created identifying what was deemed to be wasteful spending at Brown, and the names and titles of employees were published. Shieh insisted to the Brown Daily Herald all of the information was publicly available. Brown University, however, expressed a different view. 'In spite of what has been reported publicly framing this as a free speech issue, it absolutely is not,' a university spokesperson told Fox News. 'At the center of Brown's review are questions focused on whether improper use of non-public Brown data, non-public data systems and/or targeting of individual employees violated law or policy.' Whether or not you agree Shieh's approach was an appropriate way to investigate wastefulness, it's an issue many of us deal with in our everyday lives, including in our personal finances. Here are three simple ways to cut waste in your own life in 2025. Car insurance is a major recurring expense, and many people overpay without realizing it. According to Forbes, the average cost of full-coverage car insurance is $2,149 per year (or $179 per month). However, rates can vary widely depending on your state, driving history and vehicle type, and you could be paying more than necessary. By using you can easily compare quotes from multiple insurers, such as Progressive, Allstate and GEICO, to ensure you're getting the best deal. In just two minutes, you could find rates as low as $29 per month. Bank fees can quietly drain your finances over time. In reality, many traditional banks will issue a charge if you don't maintain a minimum balance, along with other actions such as overdrafting. Online banks, on the other hand, typically offer lower fees (or none at all) since they don't have the same overhead costs as brick-and-mortar institutions. Many online banks also offer high-interest checking and savings accounts, allowing you to earn more on your idle cash. Read more: This tiny hot Costco item has skyrocketed 74% in price in under 2 years — but now the retail giant is restricting purchases. Monthly utility bills — electricity, water and heating — can add up fast, but small changes can lead to big savings over time. You can switch to LED light bulbs, unplug devices when they're not in use and use smart thermostats to cut heating and cooling costs. According to the U.S. Department of Energy, simply switching to LED lighting can save the average household about $225 per year in energy costs. You might also want to consider air sealing your home and adding insulation. The U.S. Environmental Protection Agency estimates that by doing so, homeowners can save about 15% on heating and cooling costs, or an average of 11% on their total energy costs. Financial aid only funds about 27% of US college expenses — but savvy parents are using this 3-minute move to cover 100% of those costs Elon Musk just endorsed Warren Buffett's '5-minute' fix for America's multi-trillion debt problem — and 1 Senator is drafting a constitutional change to make it real. Do you think it'll work? Rich, young Americans are ditching the stormy stock market — here are the alternative assets they're banking on instead Here's how much the average 60-year-old American has in retirement savings — and 5 critical ways you can secure your nest egg Stay in the know. Join 200,000+ readers and get the best of Moneywise sent straight to your inbox every week for free. This article provides information only and should not be construed as advice. It is provided without warranty of any kind.
