Investment firm Baird has revised down its price target for QuantumScape (QS, Financial) from $8 to $6, maintaining a Neutral rating on the stock. The adjustment follows the company’s first-quarter earnings report and the announcement of a new collaboration agreement with electronics manufacturer Murata.
Baird’s revision reflects an updated financial model that takes into account recent developments, including the potential impacts of the partnership with Murata on QuantumScape’s operational and strategic outlook. The firm continues to assess the company’s performance as it progresses in the competitive battery technology sector.
Wall Street Analysts Forecast
Based on the one-year price targets offered by 8 analysts, the average target price for QuantumScape Corp (QS, Financial) is $5.23 with a high estimate of $8.00 and a low estimate of $2.50. The average target implies an upside of 31.28% from the current price of $3.98. More detailed estimate data can be found on the QuantumScape Corp (QS) Forecast page.
Based on the consensus recommendation from 9 brokerage firms, QuantumScape Corp's (QS, Financial) average brokerage recommendation is currently 3.1, indicating "Hold" status. The rating scale ranges from 1 to 5, where 1 signifies Strong Buy, and 5 denotes Sell.
QS Key Business Developments
Release Date: April 23, 2025
- Capital Expenditures (CapEx): $5.8 million in Q1 2025, with full-year guidance between $45 million and $75 million.
- GAAP Operating Expenses: $123.6 million in Q1 2025.
- GAAP Net Loss: $114.4 million in Q1 2025.
- Adjusted EBITDA Loss: $64.6 million in Q1 2025, in line with expectations.
- Liquidity: $860.3 million at the end of Q1 2025.
- Cash Runway: Extends into the second half of 2028.
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
- QuantumScape Corp (QS, Financial) is on track with its product launch, with QSE-5 samples being shipped for module and systems level integration and testing.
- The Cobra separator process is ahead of schedule, with all required equipment installed and qualification progressing well.
- The company is expanding its commercial engagements, notably with Powerco, the battery manufacturing arm of Volkswagen Group.
- QuantumScape Corp (QS) has announced a collaboration with Murata Manufacturing to accelerate the industrialization of its solid-state battery technology.
- The company maintains a strong liquidity position with $860.3 million, extending its cash runway into the second half of 2028.
Negative Points
- QuantumScape Corp (QS) reported a GAAP net loss of $114.4 million in Q1 2025.
- The company expects capital expenditures to increase significantly throughout 2025, impacting cash flow.
- Adjusted EBITDA loss was $64.6 million in Q1, with full-year guidance for a loss between $250 million and $280 million.
- The company faces uncertainties and risks related to future technology progress and financial performance.
- Tariffs and geopolitical factors present potential challenges, although current impacts are expected to be marginal.
