Group 1 - QuantumScape's stock is experiencing significant declines, with a drop of 9.5% as of 1:30 p.m. ET, and a peak decline of 11.6% earlier in the session [1] - The bearish market sentiment is influenced by reports of President-elect Donald Trump considering a national economic emergency declaration to implement tariff policies more aggressively than previously expected [3][4] - The uncertainty surrounding tariff dynamics is prompting investors to sell stocks with higher risk profiles, impacting QuantumScape, which is still in a pre-revenue state [4] Group 2 - QuantumScape may face business-specific challenges due to potential new tariff policies, which could increase production costs and decrease margins when the company eventually rolls out its solid-state batteries [5] - The company's stock has a binary outcome; if its solid-state battery technologies prove reliable and commercially viable, the valuation could significantly increase, but failure to deliver on this progress could lead to a substantial decline in stock value [6]

Subscription Service - A single subscription to Beyond the Wall Investing can save thousands of dollars annually on equity research reports from banks, providing access to the latest and highest-quality analysis [1] QuantumScape Corporation (QS) - QuantumScape Corporation (NYSE: QS) has not yet achieved real profitability in its operating activities, but the technology behind the company, particularly its development of solid-state lithium metal cells for EV applications, holds significant future monetization potential [2] - The investing group Beyond the Wall Investing offers features such as a fundamentals-based portfolio, weekly analysis of institutional investor insights, regular alerts for short-term trade ideas based on technical signals, ticker feedback by request, and community chat [2]

The S&P 500 posted a solid on Monday, with QuantumScape (QS 9.67%) as a major standout. As of the market close, the solid-state EV battery technology company was higher by 9.5% and traded more than 13% higher at certain points.QuantumScape is one of 2025's best performers so farSome of the move in QuantumScape's price appears to be momentum-driven. Including today's gain, the EV battery technology stock is up nearly 27% already in 2025, with gains in every trading session.A report Monday about President-ele ...

Group 1 - QuantumScape stock has shown a negative bias since its public market debut, with only 96 out of 228 weeks yielding positive returns, indicating a 57.9% chance of negative returns at the start of any given week [1] - Following a 17.59% spike last week, historical data suggests a 63.2% chance that the stock will be in negative territory by the fourth week after this return, with an average loss of 27.2% in previous instances [1] - The stock closed at $5.95, suggesting a potential downside target of $4.33 by January 24, 2025, based on historical performance [1] Group 2 - Two options strategies are proposed: a bear put spread at the $5.50/$5.00 level, which could yield a maximum payout of 61.29%, and a more aggressive bear put spread at the $5.50/$4.50 level, with a potential payout of 143.9% if the stock drops to $4.50 or below [2][4] - Despite skepticism, QuantumScape benefits from a support line at the $4.70 level, which is crucial for the proposed options strategies [4] Group 3 - The electric vehicle industry growth presents a dual benefit for QuantumScape, as increased demand for advanced batteries is expected alongside the need for energy-efficient powerplants to support grid infrastructures [6] - Despite a recent 17.59% gain, QuantumScape has lost over 43% of its equity value since its market debut, raising concerns about the sustainability of its positive momentum [6] - Unusual activity in the options market, particularly the sale of $6 call options, indicates institutional investors are betting against QuantumScape stock, reflecting a broader skepticism [6]

Positions and Affiliations - Jason Hall holds positions in QuantumScape including long January 2026 $7 calls and short January 2027 $5 puts [1] - Jason Hall is an affiliate of The Motley Fool and may be compensated for promoting its services [1] - The Motley Fool and Tyler Crowe have no positions in any of the mentioned stocks [1]

Investment Strategy - The investor focuses on long-duration growth opportunities and balances the portfolio with low-volatility dividend-paying stocks [2] - The investor prioritizes fundamental analysis, emphasizing business and strategic perspectives, and evaluates financial performance and intrinsic value relative to stock price [2] - The investor seeks high-quality companies with reasonable valuations rather than deep discounts, as excessively cheap stocks may indicate underlying issues [2] QuantumScape (QS) Investment - QuantumScape's stock experienced significant volatility, rising from around $5 to over $9 per share shortly after the investor's bullish call [3] - The investor holds a beneficial long position in QuantumScape through stock ownership, options, or other derivatives [3]

Core Insights - QuantumScape and NuScale Power are both attempting to disrupt traditional energy sectors with innovative technologies, focusing on solid-state batteries and small modular reactors respectively [1] - QuantumScape's stock has significantly declined from its peak, while NuScale's stock has shown resilience and growth [2] QuantumScape Overview - QuantumScape is developing solid-state lithium-metal batteries that promise higher energy density and faster charging times compared to traditional lithium-ion batteries [3][4] - The company is not expected to generate revenue until 2026, with projected net losses of nearly $500 million annually from 2024 to 2026 [6] - QuantumScape's production ramp-up is contingent on upgrading its manufacturing process, which is expected to be completed by 2025 [5] - The company faces intense competition from other firms and established automakers, contributing to a significant drop in its stock value [7] NuScale Power Overview - NuScale is the only company with small modular reactors (SMRs) certified by the U.S. Nuclear Regulatory Commission, allowing for easier deployment in various locations [8] - The company aims to achieve cost-effectiveness by developing reactor clusters that generate at least 77 megawatts of electricity, with certification expected in 2025 [10] - Despite ambitious plans, NuScale has faced financial challenges, leading to layoffs and the cancellation of a reactor construction project [11] - Recent developments, including new supply agreements and government funding, have positively impacted NuScale's stock performance [12] Financial Projections - Analysts predict NuScale's revenue will remain flat at $23 million in 2024 but could surge to $102 million in 2025, although it remains unprofitable [13] - QuantumScape's enterprise value is currently $1.9 billion, while NuScale's is $2 billion, reflecting a high valuation relative to expected sales [7][13] Investment Outlook - NuScale is viewed as a more favorable investment due to its revenue generation, lower competition, and clearer growth catalysts compared to QuantumScape [14]

If you're an investor with a healthy appetite for risk, and are looking for potentially massive long-term investments, QuantumScape (QS -0.81%) and Rivian Automotive (RIVN 1.20%) should be two stocks on your radar. Both could end up explosive, in a good way, or burn a hole in your pocket. Here are a couple of reasons each could be a strong buy in 2025.QuantumScape: The future?QuantumScape has been quietly developing promising solid-state lithium-metal batteries that would drastically improve the status quo ...

Shares of electric vehicle (EV) and related stocks Lucid Motors (LCID 3.33%), QuantumScape (QS 3.68%), and Navitas Semiconductor Corporation (NVTS 14.88%) rallied today, up 3.3%, 3.7%, and 14.9%, respectively, in Monday's trading.The commonality among all three stocks is their leverage to the EV and clean energy markets. Such stocks have taken a pounding this year, at first because of the big slowdown in EV sales amid higher interest rates. And these stocks took another severe downturn recently after the el ...

Like any other millionaire-making stock pick, this one requires a risky leap of faith to achieve the massive gains some investors are hoping for.What's the secret to finding mega-winner stocks like Amazon and Nvidia before they soar? It's not a secret. You just need to spot a company that's uniquely positioned to capitalize on a real opportunity before most other investors do the same.Problem? It's much easier said than done. For every Amazon and Nvidia out there, there are also a bunch of high-profile impl ...