Traders Show Interest in Call Options for QuantumScape

QuantumScape Co. (NYSE:QS) experienced notable options trading on Monday, with investors acquiring a total of 104,382 call options. This volume indicates a significant increase of around 210% compared to the average of 33,628 call options typically traded.

Recent Insider Transactions

In related news, insider Mohit Singh sold 97,305 shares of the company's stock on December 27. The shares were sold at an average price of $6.24, resulting in a transaction totaling $607,183.20. After this sale, Singh holds 1,092,020 shares, valued at about $6.81 million, which marks an 8.18% decrease in his holdings. This transaction was filed with the SEC and is accessible for review. Additionally, Chief Financial Officer Kevin Hettrich sold 34,607 shares of QuantumScape on October 9, at an average price of $5.49, amounting to a total of $189,992.43. Hettrich's remaining stake has decreased by 3.12%, now totaling 1,073,022 shares worth approximately $5.89 million. Over the past 90 days, insiders have collectively sold 571,067 shares worth $3,093,612, owning roughly 12.03% of the company’s total stock.

Institutional Investments in QuantumScape

Recent activity among institutional investors reflects changing positions in QuantumScape. For instance, Bank of New York Mellon Corp increased its holdings by 1.3% during the second quarter, now owning 930,614 shares valued at $4.58 million after adding 11,897 shares. Commonwealth Equity Services LLC raised its stakes by 2.6%, acquiring an additional 9,290 shares, resulting in total holdings of 367,887 shares worth $1.81 million. Arizona State Retirement System boosted its position by 4.6%, while Ground Swell Capital LLC entered a new investment in QuantumScape valued at $95,000. In total, hedge funds and other institutional investors collectively own 29.87% of QuantumScape's stock.

Market Performance of QuantumScape

On Monday, QuantumScape's stock rose by 11.8%, reaching $6.71 during trading, with about 16,077,159 shares traded, compared to an average volume of 18,948,365. The company's market capitalization stands at $3.44 billion, with a price-to-earnings ratio of -7.06. QuantumScape’s stock has fluctuated between a low of $4.65 and a high of $9.66 over the past year. The company maintains a debt-to-equity ratio of 0.03, along with both a quick ratio and a current ratio of 14.07. Its 50-day simple moving average is $5.16, while the 200-day simple moving average is $5.66.

QuantumScape last reported its quarterly earnings on October 23, revealing an earnings per share of ($0.23), which fell short of analysts' consensus estimate of ($0.21) by $0.02. During the previous year, the company also reported ($0.23) earnings per share. Analysts project that QuantumScape will report an EPS of -0.99 for the current year.

Expert Analyst Ratings

Various analysts have shared their opinions on QuantumScape. Truist Financial reiterated a “hold” rating, adjusting its price target from $6.00 to $7.00 in a note on October 25. Deutsche Bank maintained its “hold” rating with a price target of $6.00. HSBC upgraded QuantumScape’s rating from “reduce” to “hold,” setting a target price of $5.30. Presently, one analyst rates the stock as a sell, while six analysts recommend holding the stock. According to MarketBeat.com, QuantumScape has an average rating of “Hold” with a consensus price target of $6.26.

About QuantumScape

QuantumScape Corporation is a company focused on the research and development of solid-state lithium-metal batteries for electric vehicles and other applications. Established in 2010, it is headquartered in San Jose, California.

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