Why QuantumScape Stock Fell in April
Battery start-up QuantumScape (NYSE: QS) was one of the more successful electric vehicle-related companies that went public via a special purpose acquisition company (SPAC) in 2020, with its stock quickly jumping more than 400%. In April QuantumScape was hit by the other trend impacting auto SPACs, a critical short report, and the stock fell 18.3% for the month as a result, according to data provided by S&P Global Market Intelligence.
QuantumScape is developing a solid-state battery that would be a huge improvement over the lithium-ion batteries currently used to power electric vehicles, but its tech is still years away from commercialization. It has some high-profile backers and counts Volkswagen (OTC: VWAGY) as both an investor and a customer, but given the challenges involved in solid-state batteries, it is not a lock for success.
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Source Fool.com
