Why QuantumScape Shares Dropped Today
QuantumScape (NYSE: QS) shares are significantly outperforming other technology stocks to the downside today. While the tech-heavy Nasdaq Composite index was down about 1.3% as of 2:45 p.m. ET, QuantumScape stock was lower by 6%.
Nothing from the company has investors bailing on the stock. But the macro picture just isn't what a stock like QuantumScape needs right now. The company is in the midst of a multiyear development for a potential game-changing battery for the EV industry. If successfully commercialized, solid-state battery technology should provide faster charging times with a more efficient and safer battery. It could also provide longer vehicle range with better performance and a longer life cycle than current lithium-ion batteries.
But commercialization is still several years away, and the current economic environment has investors moving away from stocks like QuantumScape that have yet to begin bringing in revenue and are valued strictly on hope and potential.
Source Fool.com
