QuantumScape (QS) Drops 8% on Lack of Leads

We recently published 10 Stocks Suffer Heavy Selling Pressure. QuantumScape Corp. (NYSE:QS) is one of the worst-performing stocks on Wednesday.

QuantumScape dropped its share prices by 7.98 percent to close at $14.64 apiece, as investors parked funds while waiting for more catalysts to boost buying appetite.

QuantumScape Corp. (NYSE:QS) traded in line with the broader market, which ended with a lackluster performance on the same day, with investors staying on the sidelines ahead of concrete developments on the government shutdown.

In other news, QuantumScape Corp. (NYSE:QS) announced on the same day that its chief legal officer, Michael McCarthy III, disposed of more than 178,000 shares in the company last week.

Earlier, QuantumScape Corp. (NYSE:QS) announced an impressive earnings performance in the third quarter of the year, having narrowed its net loss by 11.5 percent to $105.8 million from $119.6 million in the same period last year.

Loss from operations dwindled by 11.6 percent to $114.99 million from $130.16 million year-on-year.

Following the results, the company received a higher price target of $16 from TD Cowen, versus the $5 previously. Based on its latest closing price, the new target still marks a 9 percent upside potential.

While we acknowledge the potential of QS as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an extremely cheap AI stock that is also a major beneficiary of Trump tariffs and onshoring, see our free report on the best short-term AI stock.

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