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What's in Store for QuantumScape (QS) This Earnings Season?
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QuantumScape Corporation (QS - Free Report) is slated to release third-quarter 2022 results on Oct 26, after the closing bell. The Zacks Consensus Estimate is pegged at a loss of 23 cents per share for the quarter. This compares favorably with a loss of 29 cents incurred in the corresponding quarter of 2021.
The estimate for third-quarter 2022 loss per share has narrowed by 2 cents over the past 30 days. In the last reported quarter, this solid-state battery maker reported a net loss per share of 22 cents, in line with the consensus estimate.
Key Factors Likely to Shape Quarterly Results
QuantumScape’s next-generation cutting-edge batteries are revolutionizing the electric vehicle (EV) space. Leveraging lithium-metal technology, QS’ batteries charge up a vehicle to 80% of its full capacity in around 15 minutes. The company aims to achieve ranges of 300 miles or more, hyper-fast charging (less than 15 minutes), cheap vehicles (less than $30k), and extended battery life (more than 150,000 miles), thus accelerating the race to mass EV adoption. The use of this game-changing technology is likely to have positively impacted the company’s third-quarter performance, given the soaring demand for green vehicles. Partnerships with companies like Volkswagen and Fluence Energy bode well.
Nonetheless, high capex and R&D expenses remain a headwind for this pre-revenue company. In its last quarterly release, the company’s operational expenses (comprising G&A and R&D costs) reflected a 93.2% surge. Given the fact that QS is still in the nascent stage, operating expenses are likely to have been on the rise, resulting in losses.
Earnings Whispers
Our proven model predicts an earnings beat for QuantumScape for the to-be-reported quarter as it has the right combination of the two key ingredients. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Earnings ESP: QuantumScape has an Earnings ESP of +13.04%. This is because the Most Accurate Estimate of loss is pegged 3 cents lower than the Zacks Consensus Estimate.
Here are a couple of other stocks in the auto sector lined up to release quarterly results soon, which, according to our model, have the right combination of elements to post an earnings beat for the quarter to be reported.
Oshkosh (OSK - Free Report) will release third-quarter 2022 results on Oct 27. The company has an Earnings ESP of +3.36% and a Zacks Rank #3.
The Zacks Consensus Estimate for Oshkosh’s to-be-reported quarter’s earnings and revenues is pegged at $1.15 per share and $2.14 billion, respectively. OSK surpassed earnings estimates in two of the trailing four quarters for as many misses, with the average surprise being a negative 13.62%.
Lear (LEA - Free Report) will release third-quarter 2022 results on Nov 1. The company has an Earnings ESP of +4.02% and a Zacks Rank #3.
The Zacks Consensus Estimate for Lear’s to-be-reported quarter’s earnings and revenues is pegged at $2.12 per share and $5.16 billion, respectively. LEA surpassed earnings estimates in three of the trailing four quarters and missed once, with the average surprise being 14.41%.
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What's in Store for QuantumScape (QS) This Earnings Season?
QuantumScape Corporation (QS - Free Report) is slated to release third-quarter 2022 results on Oct 26, after the closing bell. The Zacks Consensus Estimate is pegged at a loss of 23 cents per share for the quarter. This compares favorably with a loss of 29 cents incurred in the corresponding quarter of 2021.
The estimate for third-quarter 2022 loss per share has narrowed by 2 cents over the past 30 days. In the last reported quarter, this solid-state battery maker reported a net loss per share of 22 cents, in line with the consensus estimate.
Key Factors Likely to Shape Quarterly Results
QuantumScape’s next-generation cutting-edge batteries are revolutionizing the electric vehicle (EV) space. Leveraging lithium-metal technology, QS’ batteries charge up a vehicle to 80% of its full capacity in around 15 minutes. The company aims to achieve ranges of 300 miles or more, hyper-fast charging (less than 15 minutes), cheap vehicles (less than $30k), and extended battery life (more than 150,000 miles), thus accelerating the race to mass EV adoption. The use of this game-changing technology is likely to have positively impacted the company’s third-quarter performance, given the soaring demand for green vehicles. Partnerships with companies like Volkswagen and Fluence Energy bode well.
Nonetheless, high capex and R&D expenses remain a headwind for this pre-revenue company. In its last quarterly release, the company’s operational expenses (comprising G&A and R&D costs) reflected a 93.2% surge. Given the fact that QS is still in the nascent stage, operating expenses are likely to have been on the rise, resulting in losses.
Earnings Whispers
Our proven model predicts an earnings beat for QuantumScape for the to-be-reported quarter as it has the right combination of the two key ingredients. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Earnings ESP: QuantumScape has an Earnings ESP of +13.04%. This is because the Most Accurate Estimate of loss is pegged 3 cents lower than the Zacks Consensus Estimate.
Zacks Rank: It carries a Zacks Rank of 3 currently. You can see the complete list of today’s Zacks #1 Rank stocks here.
Other Stocks With the Favorable Combination
Here are a couple of other stocks in the auto sector lined up to release quarterly results soon, which, according to our model, have the right combination of elements to post an earnings beat for the quarter to be reported.
Oshkosh (OSK - Free Report) will release third-quarter 2022 results on Oct 27. The company has an Earnings ESP of +3.36% and a Zacks Rank #3.
The Zacks Consensus Estimate for Oshkosh’s to-be-reported quarter’s earnings and revenues is pegged at $1.15 per share and $2.14 billion, respectively. OSK surpassed earnings estimates in two of the trailing four quarters for as many misses, with the average surprise being a negative 13.62%.
Lear (LEA - Free Report) will release third-quarter 2022 results on Nov 1. The company has an Earnings ESP of +4.02% and a Zacks Rank #3.
The Zacks Consensus Estimate for Lear’s to-be-reported quarter’s earnings and revenues is pegged at $2.12 per share and $5.16 billion, respectively. LEA surpassed earnings estimates in three of the trailing four quarters and missed once, with the average surprise being 14.41%.
Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.