QuantumScape Stock Falls 20% In 5 Trading Sessions: What's Going On?

QuantumScape Corp (NYSE:QS) shares are down on Wednesday as the company faces challenges despite a recent earnings report that beat analyst expectations. The stock has fallen 20% over the past five sessions, reflecting continued selling pressure following the report. Here’s what investors need to know.

• QuantumScape shares are under pressure. What’s driving QS stock lower?

QuantumScape Q4 Loss Narrows

QuantumScape reported a fourth-quarter loss of 17 cents per share, which was better than the expected loss of 18 cents per share. The company also highlighted capital expenditures totaling $36.3 million for the full year, with customer billings reaching $19.5 million in 2025.

The company emphasized its diverse customer base and robust partner ecosystem, stating, “We believe we have a diverse group of customer and application opportunities, a robust and growing partner ecosystem, and a differentiated technology platform.”

Additionally, QuantumScape plans to focus on demonstrating scalable production of its solid-state battery technology in 2026.

Significant Short-Term Technical Weakness

The stock is currently trading 22.2% below its 20-day simple moving average (SMA) and 42.9% below its 100-day SMA, indicating significant weakness in the short to medium term.

Shares have decreased 28.34% over the past 12 months and are positioned closer to their 52-week lows than highs, suggesting a challenging market environment.

The RSI is at 29.69, indicating that the stock is in oversold territory, which typically suggests a potential for a rebound. Meanwhile, the MACD shows a value of -0.8096, below its signal line at -0.7029, indicating bearish momentum.

The combination of oversold RSI and bearish MACD suggests mixed momentum, indicating that while the stock is oversold, there is still downward pressure.

• Key Resistance: $7.50

QuantumScape’s Business Model

QuantumScape is engaged in the development of next-generation solid-state lithium-metal batteries for use in electric vehicles and other applications.

The company’s solid-state lithium-metal battery technology is designed to offer greater energy density, faster charging, and enhanced safety. Its battery cells have none of the host materials used in conventional anodes.

Benzinga Edge Rankings

Below is the Benzinga Edge scorecard for QuantumScape, highlighting its strengths and weaknesses compared to the broader market:

• Momentum: Strong (Score: 69.62) — Stock is outperforming the broader market.

The Verdict: QuantumScape’s Benzinga Edge signal reveals a strong momentum score, indicating positive price action relative to the market. While the stock faces technical challenges, the momentum score suggests potential for recovery as it navigates these hurdles.

QS Shares Edge Lower Wednesday

QS Price Action: QuantumScape shares were down 0.56% at $7.15 at the time of publication on Wednesday, according to Benzinga Pro data.

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