I wrote about QuantumScape (NYSE: QS ) previously (1 st August 2024) with a buy rating as I saw huge upside potential if the business can deliver as promised. Although the product has yet to reach the I am an individual investor that is now fully focus on managing my own capital that I have saved up over the years. My investing background spreads across a wide spectrum as I believe there are merits to each approach, for instance: Fundamental investing [Bottoms-up etc.], Technical investing [historical chart ...

QuantumScape Today | --- | --- | |---------------------|-------| | | | | | | | QS | | | QuantumScape | | | $5.70 | | | +0.01 (+0.18%) | | | 52-Week Range $4.67 | | | ▼ | | | $10.03 | | | Price Target $6.14 | | | | | Add to Watchlist QuantumScape Co. NYSE: QS is a battery technology company that has been developing its next-generation solid-state lithium-metal electric vehicle (EV) battery for nearly 15 years. The auto/tires/trucks sector company is in its final stages before commercialization commences in 2 ...

QuantumScape's batteries could transform the electric-vehicle (EV) landscape.Electric-vehicle (EV) battery technology company QuantumScape (QS 20.08%) gave investors a reason to cheer with its third-quarter report last night, and its shares are surging as a result. The stock popped nearly 36% in early morning trading. As of 11:38 a.m. ET, it was still up by 21.6%.The company announced it has achieved an important milestone in its work to develop commercially viable solid-state batteries for EV makers. It ha ...

Battery Technology Development - QuantumScape has begun producing low volumes of its first B-sample cells, QSE-5, with an energy density of over 800 Wh/L and fast-charging capability from 10% to 80% in less than 15 minutes [2]. - The QSE-5 B-sample cells are the first anode-free solid-state lithium-metal cells designed for automotive applications, marking a significant milestone in battery technology [3]. - The company is focused on developing solid-state battery technology, facing significant challenges in achieving high-volume production and commercialization [19]. - The company is at an early stage of testing its battery technology for consumer electronics, with potential technical hurdles ahead [19]. Financial Performance - Adjusted EBITDA loss for 2024 is forecasted to be between $280 million and $300 million, primarily due to higher legal fees and settlement accruals [8]. - Total operating expenses for the three months ended September 30, 2024, were $130,158, an increase of 7.7% compared to $120,870 for the same period in 2023 [14]. - Research and development expenses increased to $96,994 for the three months ended September 30, 2024, up from $88,154 in the same period last year, representing a growth of 9.9% [14]. - The net loss attributable to common stockholders for the three months ended September 30, 2024, was $(119,572), compared to $(110,617) for the same period in 2023, reflecting an increase in loss of 8.7% [14]. - Adjusted EBITDA for the three months ended September 30, 2024, was $(71,573), compared to $(62,493) for the same period in 2023, indicating a decline of 14.5% [16]. - Cash, cash equivalents, and restricted cash at the end of the period were $192,753, down from $268,872 at the end of the same period last year, a decrease of 28.3% [15]. - Net cash used in operating activities for the three months ended September 30, 2024, was $(92,802), compared to $(62,557) for the same period in 2023, an increase of 48.3% [15]. - The company reported a comprehensive loss attributable to common stockholders of $(118,114) for the three months ended September 30, 2024, compared to $(107,225) for the same period in 2023, an increase of 10.8% [14]. - The basic and diluted net loss per share for the three months ended September 30, 2024, was $(0.23), unchanged from the same period in 2023 [14]. Capital and Liquidity - Capital expenditures in Q3 2024 were $17.9 million, primarily for equipment purchases related to low-volume QSE-5 prototype production and the Cobra process [8]. - The company has extended its cash runway forecast by 18 months into 2028, with liquidity at $841 million as of Q3 2024 [8]. - Total current assets decreased from $1,083.5 million in December 2023 to $853.7 million in September 2024 [13]. - Total liabilities remained relatively stable, decreasing slightly from $161.8 million in December 2023 to $161.4 million in September 2024 [13]. Strategic Collaborations and Risks - The collaboration with PowerCo aims to bring QSE-5 technology into mass production at gigawatt-hour scale, with a $130 million prepayment contingent on satisfactory technical progress [5]. - There are risks associated with the collaboration with Volkswagen and PowerCo, which could impact future business prospects and technology industrialization [19]. - Delays in acquiring and operating new manufacturing equipment may hinder production capabilities and development efforts [19]. - The company may need to raise additional funds, potentially leading to dilution of stock ownership for investors [19]. - The company cautions that actual results may differ materially from forward-looking statements due to various risks and uncertainties [19]. - The company emphasizes the importance of protecting its intellectual property to maintain its competitive position [19]. - There may be challenges in controlling operational costs and achieving competitive pricing for solid-state battery components [19]. - The company has encountered delays in increasing production of engineering samples, which have previously slowed development efforts [19]. - The company disclaims any duty to update forward-looking statements unless required by law, highlighting the uncertainty of future outcomes [19]. Corporate Governance - QuantumScape's board of directors is transitioning with the addition of two new members, enhancing its focus on product and industrialization [10].

While QuantumScape could be a game-changing company and investment, investors are still waiting for the company to turn the corner. At first glance QuantumScape (QS 3.35%) appears to be a dgreat investment. Its solid-state battery technology is developing at a time electric vehicles (EVs) are on the cusp of taking over global roads. Further, its solid-state battery technology can store more energy, improve range, charge faster, is safer, and reduces cost as it eliminates part of the bill of materials from t ...

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Company Overview - QuantumScape is focused on developing solid-state lithium-metal batteries primarily for the electric vehicle (EV) market, but aims to expand beyond that in the future [2] - Currently, the company does not generate any revenue and is heavily investing in research and development (R&D), which amounted to $97.7 million in Q2 2024 [3] Financial Position - QuantumScape has $196 million in cash and $741 million in marketable securities, providing a total of $937 million to support its operations [4] - The recent restructuring of its partnership with Volkswagen extends the company's cash runway into 2028, giving it an additional 18 months to develop its technology [6] Partnership with Volkswagen - The partnership with Volkswagen is a significant aspect of QuantumScape's strategy, offering production support and potential long-term customer relationships, although it is not exclusive [5] - Despite the partnership, the company still faces the challenge of not having a marketable product yet [5] Investment Outlook - The company is making progress in its technology development, but it is expected to continue incurring losses for several more years [8] - Investors are advised to be cautious, as the company must successfully develop and commercialize its battery technology to be a viable investment [7][8]

The battery technology company isn't exactly a low-risk stock, but it could be transformative to the EV industry. QuantumScape (QS -4.99%) is perhaps the ultimate example of a binary outcome stock. If its new battery technology proves successful on the commercial level, it could transform the electric vehicle (EV) industry and make its investors lots of money in the process. But that's a big "if." In this video, Fool.com contributors Matt Frankel and John Rosevear discuss QuantumScape's latest developments ...

Core Viewpoint - Recent insider activity at QuantumScape has raised investor speculation regarding the company's future prospects, necessitating a reassessment of stock positions [1] Group 1: Technology and Innovation - QuantumScape's solid-state battery technology has the potential to revolutionize the electric vehicle (EV) industry by overcoming limitations of traditional lithium-ion batteries, offering reduced costs, faster charging times, extended range, and enhanced safety [2][4] - The company's anode-free lithium-metal technology could enable EVs to achieve a range of up to 600 miles on a single charge and recharge to 80% capacity in just 15 minutes [2] Group 2: Strategic Partnerships and Progress - QuantumScape has formed a significant partnership with Volkswagen, which has invested in the company and tested its solid-state battery technology, passing critical endurance tests [6] - A licensing agreement with Volkswagen's battery unit, PowerCo, includes a $130 million royalty prepayment, targeting an initial production volume of 40 gigawatt hours per year, with potential to double this capacity, enough to power one million vehicles annually [7] - The delivery of Alpha-2 prototype cells marks a significant step toward bringing solid-state batteries to market, with plans for the QSE-5 to be the first mass-market offering [8] Group 3: Challenges and Market Position - Despite advancements, QuantumScape faces significant challenges in commercializing solid-state batteries, including technical and logistical hurdles, and must prove its ability to scale production efficiently [11] - The company is still at least a year away from commercialization, with competitors like SES AI and Solid Power also making strides in solid-state battery technology [12] - QuantumScape reported a net loss of $123 million in Q2 2024, with liquidity of $938 million, but high capital expenditures and R&D costs may impact future margins [14] Group 4: Financial Outlook - The Zacks Consensus Estimate for QuantumScape's 2024 loss per share has widened to 91 cents, indicating a year-over-year improvement of 5.2% [16] - Year-to-date, QS shares have declined 18.6%, underperforming its peer group, and the stock currently carries a Value Score of F, with missed earnings estimates in three of the last four quarters [14][15]

Core Viewpoint - QuantumScape's solid-state battery technology has the potential to address key challenges in the electric vehicle (EV) market, including cost reduction, increased range, and improved safety, despite the stock's significant decline over the past three years [1] Group 1: Stock Performance and Investor Sentiment - QuantumScape's stock has decreased by 72% over the past three years, leading some investors to reconsider their positions [2] - The company, despite being pre-revenue, has a market capitalization of slightly over $3 billion, indicating potential for further value loss [3] - Concerns about a recession affecting the EV industry are present, but QuantumScape is less vulnerable due to its lack of reliance on sales revenue [4] Group 2: Financial Health and Development Progress - Investors are currently observing cash burn as QuantumScape invests in development and production, but the company's cash reserves can sustain operations until 2028 [5] - QuantumScape has made significant progress in proving its technology and achieving testing milestones, which is crucial for investor confidence [6] - The company has successfully met multiple 2024 milestones, including the introduction of its first commercial product, the QSE-5, and improvements in production quality [8] Group 3: Strategic Partnerships and Future Outlook - A major agreement with Volkswagen Group's battery company, PowerCo, will provide royalty payments and enable commercial production with a capital-light strategy [9] - The licensing agreement allows PowerCo to manufacture up to 40 GWh annually, sufficient for approximately half a million vehicles, with the potential to double output [10] - The key takeaway for investors is to maintain patience, as QuantumScape is beginning to achieve important milestones and partnerships that could serve as catalysts for future growth [11]