QuantumScape (QS) Hits All-Time High on Govt Support to Lithium Sector

We recently published 10 Stocks With Eye-Popping Double-Digit Gains. QuantumScape Corporation (NYSE:QS) is one of the top performers on Friday.

QuantumScape propelled to a new 52-week high on Friday, as investors poured funds into shares of battery companies following the US government’s ongoing initiatives to prop up the lithium industry in the country.

During the session, the stock climbed to its highest price of $16.49 before trimming gains to finish the day just up by 11.33 percent at $15.92 a piece.

Earlier this week, the US government announced plans to acquire a 5 percent stake in Lithium Americas and another 5 percent in its Thacker Pass mine in Nevada, in a bid to boost the domestic supply of lithium and reduce the country’s reliance on imports.

QuantumScape Corporation (NYSE:QS)—a company heavily reliant on lithium to produce batteries for electric vehicles—is set to indirectly benefit from the investment as switching to domestic supplies could significantly lower the costs of raw materials and reduce supply chain disruptions, especially given that China,—the largest lithium producer in the world—remains locked in a trade conflict with the US.

In other news, QuantumScape Corporation (NYSE:QS) recently announced a partnership with Corning Inc. for the joint development of ceramic separator manufacturing capabilities for QS solid-state batteries. The partnership targets to ramp up production of its ceramic separators for commercial applications.

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READ NEXT: 30 Stocks That Should Double in 3 Years and 11 Hidden AI Stocks to Buy Right Now.

Disclosure: None. This article is originally published at Insider Monkey.