QuantumScape: QS Stock Surge Hits Overbought Territory: Is a Major Pullback Looming?
QuantumScape has recently seen a great deal of volatility following a recent peak of $19.

Quick overview
- QuantumScape's stock experienced significant volatility, dropping 16% to close at $15.07 on October 17, 2025, amid concerns about profitability.
- Despite recent declines, QS's stock has surged 312% over the past six months due to excitement around its solid-state battery technology.
- The company remains unprofitable, reporting a net loss of $0.20 per share, with analysts predicting further losses and no significant revenue until 2026.
- High short interest and ongoing operational challenges contribute to market skepticism, suggesting QS could become a meme stock, increasing its volatility.
QuantumScape has recently seen a great deal of volatility following a recent peak of $19.
The stock fell 16 percent on October 16 and closed at $15.07 on October 17, 2025, as fresh worries about profitability and long-term performance surfaced. An examination of the possible trend reversal and the causes of these anxieties is provided below, taking into account current events and market sentiment.
QS’s stock has risen 312% in the last six months due to the excitement surrounding its QSE-5 solid-state battery showcase at Volkswagen’s IAA Mobility conference.
QS has increased by almost 200 percent so far in 2025 despite the recent decline, indicating considerable market interest in its solid-state battery technology. The volatility of QS stock is significantly higher than that of the overall market, with a 60-month beta of 4.85.
QuantumScape is still not profitable with a net loss of $0.20 per share in its most recent quarter, which was only marginally better than the $0.25 loss in the previous year, and a negative return on equity (ROE) of -41.5 percent.
Analysts predicted a -$0.82 EPS loss for the entire year, with no significant revenue anticipated until 2026, when commercial testing starts. A low Piotroski F-Score of 3 and substantial ongoing losses, despite a robust liquidity buffer of more than $800 million, point to operational flaws and subpar earnings quality, casting doubt on the company’s ability to turn a profit.
Partnerships with Corning, Murata Manufacturing, and Volkswagen’s PowerCo to scale production of ceramic separators and solid-state batteries propelled the stock’s surge. Sell-offs have been brought on, nevertheless, by recent profit-taking and doubts about the commercialization timeline. Significant market skepticism is indicated by the high short interest rate of 51%, and QS has the potential to become a meme stock, which would increase volatility.
- Check out our free forex signals
- Follow the top economic events on FX Leaders economic calendar
- Trade better, discover more Forex Trading Strategies
- Open a FREE Trading Account
