Why QuantumScape Stock Lost Its Charge This Week
Goldman Sachs issued a sell rating on QuantumScape (NYSE: QS) this week, and investors are apparently heeding the advice. As of Thursday afternoon, shares of the battery manufacturer were down 10% for the week, according to data provided by S&P Global Market Intelligence, due to uncertainty over whether QuantumScape will ever make good on its promise.
QuantumScape is one of a handful of companies working to commercialize a solid-state battery, a technology that in theory offers a lot of upside over the lithium-ion batteries currently used to power electric vehicles. In theory, solid-state batteries have greater capacity, are quicker to recharge, and more stable than their lithium counterparts, but so far no one has been able to bring a prototype to market.
QuantumScape has some high-profile backers, most notably Volkswagen, but it is still years away from actually powering vehicles. And it is possible the technology will prove impossible to manufacture at scale.
Source Fool.com
