Shares of solid-state electric-vehicle battery maker QuantumScape (QS) declined 15% on July 21 ahead of the company’s second-quarter financial results being released.
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The pullback comes before the company’s Q2 print on July 23 and after the share price rose 20% over the past five trading sessions. There is speculation online that the sharp decline was due to traders and investors taking profits after the big run-up and ahead of the upcoming earnings.
It is worth noting that bullish call options on QS stock have increased in recent weeks. Call options are bets that a stock will rise in the near term and are viewed as bullish for the outlook of a company and its shares. Options traders appear to be betting that QuantumScape’s stock will rise after its Q2 print.
Bull Run
Despite the 15% plunge on July 21, QS stock has enjoyed an impressive bull run this year. So far in 2025, QuantumScape’s share price has gained 141%, making it a top-performing security and outpacing most other publicly traded U.S. companies.
QuantumScape’s share price has been trending higher on positive developments for the company and its pioneering technology that involves electric vehicles. In June, QuantumScape reported that its groundbreaking Cobra separator process had entered “baseline production,” giving a boost to the stock.
Cutting-edge solid-state batteries developed by QuantumScape promise lower costs, more driving range per battery charge, and a safer product. It is hoped that solid-state batteries will make electric vehicles more capable and cheaper than current models. QS stock is currently trading at $12.52 per share.
Is QS Stock a Buy?
The stock of QuantumScape has a consensus Hold rating among five Wall Street analysts. That rating is based on one Buy and four Hold recommendations issued in the last three months. The average QS price target of $6.33 implies 56.76% downside from current levels.
