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QuantumScape (QS) to Report Q4 Earnings: What's in Store?
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QuantumScape Corporation (QS - Free Report) is slated to release fourth-quarter 2023 results on Feb 14 after the closing bell. The Zacks Consensus Estimate for QS’ loss is pegged at 23 cents per share for the fourth quarter, implying growth of 8% from the year-ago period.
The estimate for the fourth-quarter 2023 loss per share has remained unchanged over the past 90 days. In the last reported quarter, this solid-state battery maker reported a net loss of 23 cents per share, wider than the Zacks Consensus Estimate of a loss of 21 cents.
Over the trailing four quarters, the company surpassed the bottom-line estimate once and missed on the remaining three occasions, the average negative surprise being 4.88%.
In the third quarter of 2023, the A0 prototype cell demonstrated exceptional performance by surpassing 1,000 full cycle equivalents. It retained more than 95% of its discharge energy under customer-specified test conditions, which included a C/3 charge rate, C/2 discharge rate, standard temperature and pressure settings and a 100% depth of discharge. No other automotive-format battery exhibited such high discharge energy retention.
QuantumScape’s first commercial product QSE-5 will have higher-loading cathodes and more efficient packaging compared to its A0 prototype cell. Also, the company intends to continue to work on producing QSE-5 cells in large volumes with high quality and reliability. QS plans to start shipping QSE-5 this year. These developments bode well for its upcoming results.
Meanwhile, escalating expenses remain a major challenge for QS, and the trend is likely to have continued in the quarter to be reported. In the last reported quarter, the company’s capital expenditure and cash operating expenses were $18 million and $64 million, respectively.
For the full year 2023, QuantumScape expects capex to range between $75 million and $100 million and cash operating expenses to range between $225 million and $275 million, which might weigh on QS’ upcoming results.
Earnings Whispers
Our proven model doesn’t conclusively predict an earnings beat for QuantumScape for the to-be-reported quarter as it does not have 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, which is not the case here.
Earnings ESP: QuantumScape has an Earnings ESP of 0.00%. This is because the Most Accurate Estimate of a loss is in line with the Zacks Consensus Estimate. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Zacks Rank: QS carries a Zacks Rank #3.
Stocks With the Favorable Combination
Here are a few players from the auto space that have the correct elements to post an earnings beat this time.
The Zacks Consensus Estimate for LCID’s to-be-reported quarter’s loss and revenues is pegged at 28 cents per share and $166.76 million, respectively. Lucid missed earnings estimates in each of the trailing four quarters, the average negative surprise being 7.70%.
Rivian Automotive, Inc. (RIVN - Free Report) will release fourth-quarter 2023 results on Feb 21. The company has an Earnings ESP of +0.72% and a Zacks Rank #3.
The Zacks Consensus Estimate for RIVN’s to-be-reported quarter’s loss and revenues is pegged at $1.39 per share and $1.29 billion, respectively. Rivian surpassed earnings estimates in each of the trailing four quarters, the average surprise being 15.40%.
LKQ Corporation (LKQ - Free Report) will release fourth-quarter 2023 results on Feb 22. The company has an Earnings ESP of +5.40% and a Zacks Rank #3.
The Zacks Consensus Estimate for LKQ’s to-be-reported quarter’s earnings and revenues is pegged at 75 cents per share and $3.51 billion, respectively. LKQ surpassed earnings estimates in two of the trailing four quarters and missed twice, the average negative surprise being 1.36%.
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QuantumScape (QS) to Report Q4 Earnings: What's in Store?
QuantumScape Corporation (QS - Free Report) is slated to release fourth-quarter 2023 results on Feb 14 after the closing bell. The Zacks Consensus Estimate for QS’ loss is pegged at 23 cents per share for the fourth quarter, implying growth of 8% from the year-ago period.
The estimate for the fourth-quarter 2023 loss per share has remained unchanged over the past 90 days. In the last reported quarter, this solid-state battery maker reported a net loss of 23 cents per share, wider than the Zacks Consensus Estimate of a loss of 21 cents.
Over the trailing four quarters, the company surpassed the bottom-line estimate once and missed on the remaining three occasions, the average negative surprise being 4.88%.
QuantumScape Corporation Price and EPS Surprise
QuantumScape Corporation price-eps-surprise | QuantumScape Corporation Quote
Things to Note
In the third quarter of 2023, the A0 prototype cell demonstrated exceptional performance by surpassing 1,000 full cycle equivalents. It retained more than 95% of its discharge energy under customer-specified test conditions, which included a C/3 charge rate, C/2 discharge rate, standard temperature and pressure settings and a 100% depth of discharge. No other automotive-format battery exhibited such high discharge energy retention.
QuantumScape’s first commercial product QSE-5 will have higher-loading cathodes and more efficient packaging compared to its A0 prototype cell. Also, the company intends to continue to work on producing QSE-5 cells in large volumes with high quality and reliability. QS plans to start shipping QSE-5 this year. These developments bode well for its upcoming results.
Meanwhile, escalating expenses remain a major challenge for QS, and the trend is likely to have continued in the quarter to be reported. In the last reported quarter, the company’s capital expenditure and cash operating expenses were $18 million and $64 million, respectively.
For the full year 2023, QuantumScape expects capex to range between $75 million and $100 million and cash operating expenses to range between $225 million and $275 million, which might weigh on QS’ upcoming results.
Earnings Whispers
Our proven model doesn’t conclusively predict an earnings beat for QuantumScape for the to-be-reported quarter as it does not have 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, which is not the case here.
Earnings ESP: QuantumScape has an Earnings ESP of 0.00%. This is because the Most Accurate Estimate of a loss is in line with the Zacks Consensus Estimate. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Zacks Rank: QS carries a Zacks Rank #3.
Stocks With the Favorable Combination
Here are a few players from the auto space that have the correct elements to post an earnings beat this time.
Lucid Group, Inc. (LCID - Free Report) will release fourth-quarter 2023 results on Feb 21. The company has an Earnings ESP of +5.36% and a Zacks Rank #3. You can see the complete list of today’s Zacks #1 Rank stocks here.
The Zacks Consensus Estimate for LCID’s to-be-reported quarter’s loss and revenues is pegged at 28 cents per share and $166.76 million, respectively. Lucid missed earnings estimates in each of the trailing four quarters, the average negative surprise being 7.70%.
Rivian Automotive, Inc. (RIVN - Free Report) will release fourth-quarter 2023 results on Feb 21. The company has an Earnings ESP of +0.72% and a Zacks Rank #3.
The Zacks Consensus Estimate for RIVN’s to-be-reported quarter’s loss and revenues is pegged at $1.39 per share and $1.29 billion, respectively. Rivian surpassed earnings estimates in each of the trailing four quarters, the average surprise being 15.40%.
LKQ Corporation (LKQ - Free Report) will release fourth-quarter 2023 results on Feb 22. The company has an Earnings ESP of +5.40% and a Zacks Rank #3.
The Zacks Consensus Estimate for LKQ’s to-be-reported quarter’s earnings and revenues is pegged at 75 cents per share and $3.51 billion, respectively. LKQ surpassed earnings estimates in two of the trailing four quarters and missed twice, the average negative surprise being 1.36%.
Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.