Core Viewpoint - The company is focused on developing solid-state batteries to reduce the cost of electric vehicles, although this endeavor will require significant investment [1] Group 1: Company Developments - The company is working on solid-state battery technology, which is expected to contribute to lowering electric vehicle costs [1] - Achieving the goal of cost reduction through solid-state batteries will be financially demanding for the company [1]

Core Viewpoint - QuantumScape has made significant progress towards commercialization but faces investor skepticism due to anticipated losses in 2026, leading to a notable decline in stock price following its fourth-quarter report [1]. Group 1: Company Developments - QuantumScape launched its Eagle Line battery cell pilot production line, which is intended to demonstrate scalable production of solid-state technology and meet customer demand [5]. - The company added two large global automotive OEMs to its customer list in Q4, indicating growth in partnerships and licensing deals aimed at minimizing capital expenditures and generating revenue [5]. - Customer billings reached nearly $20 million in 2025, providing insight into customer activity and future cash inflows [5]. Group 2: Financial Outlook - QuantumScape forecasts capital expenditures for 2026 to be between $40 million and $60 million, with investors anticipating the lower end of this range [6]. - The company expects a full-year adjusted EBITDA loss for 2026 to be between $250 million and $275 million, which is significantly higher than Wall Street's projection of a $201 million loss [6]. - Despite a nearly 70% increase in stock price over the past year, investors are reacting to the expected higher losses and capital spending in 2026 by locking in gains [7].

Core Viewpoint - QuantumScape Corp reported a fourth-quarter loss of 17 cents per share, which was one cent below estimates, leading to an 8.9% decline in share price to $8.03 [1] Financial Performance - The company forecasts a full-year EBITDA loss between $250 million to $275 million and projects capital expenditures of $40 million to $60 million [1] Analyst Sentiment - All 10 analysts covering QuantumScape have a "hold" or worse rating, indicating a bearish outlook [2] - Deutsche Bank has reduced its price target for the stock from $10 to $9 [1] Market Activity - Short interest in QuantumScape accounts for 13.7% of the stock's available float, equating to nearly three days of buying power [2] - The stock is currently testing support at the $8 level, marking its third consecutive loss, with a year-to-date decline of 22.9% [2] Options Trading - Call traders are actively engaging with QuantumScape stock, with 31,000 calls traded, which is double the average intraday amount, compared to 9,722 puts [3] - The most popular options contract is the weekly 2/13 8.50-strike call, with new positions being opened [3]

Core Insights - The logistics sector has seen significant engagement from investors, particularly in the ASEAN and US markets, highlighting its growth potential and diversification opportunities [1] Investment Focus - The company has diversified its investments across various sectors including banking, telecommunications, logistics, and hotels, indicating a strategic approach to portfolio management [1] - The entry into the US market in 2020 reflects a growing interest in international investments, particularly in sectors like banks, hotels, and logistics [1] Market Trends - The popularity of insurance companies in the Philippines since 2014 suggests a shift in investment preferences among local investors, moving towards more diversified financial products [1] - The trend of using platforms like Seeking Alpha for analysis indicates a growing reliance on data-driven insights for investment decisions in both the ASEAN and US markets [1]

Core Insights - The logistics sector has seen significant engagement from investors, particularly in the ASEAN and US markets, highlighting its growth potential and diversification opportunities [1] Investment Focus - The company has diversified its investments across various sectors including banking, telecommunications, logistics, and hotels, indicating a strategic approach to portfolio management [1] - The entry into the US market in 2020 reflects a growing interest in international investment opportunities, particularly in sectors like banks, hotels, and shipping [1] Market Trends - The popularity of insurance companies in the Philippines since 2014 suggests a shift in investment preferences among local investors, moving towards more diversified financial products [1] - The trend of using platforms like Seeking Alpha for analysis indicates a growing reliance on data-driven investment strategies among investors in both the ASEAN and US markets [1]

Core Insights - The company has successfully integrated the COBRA process into its production baseline, which is a key driver for a capital-light licensing business model [1] - The Eagle Line pilot production facility has been commissioned, serving as a scalable model for licensing partners to replicate at gigawatt-hour scale [1] - The commercial portfolio has been expanded by adding two major global automotive OEMs through new joint development and technology evaluation agreements [1] - The company achieved its first-ever customer billings of $19.5 million, demonstrating the ability to generate cash inflows during the development phase before royalty earnings [1] - The domestic supply chain ecosystem has been strengthened through partnerships with ceramic production experts Murata Manufacturing and Corning [1] - Real-world technology viability has been demonstrated with the Ducati V21L race bike debut, marking the first integration of QSE-5 cells into a functional electric vehicle [1] - Financial discipline has been maintained by narrowing adjusted EBITDA loss by approximately 10% year-over-year through value engineering and real estate optimization [1]

Group 1 - The battery maker's shares exhibit volatility, indicating a fluctuating market response [1] - Short interest in the stock has contributed to the overall uncertainty surrounding the company's performance [1]

Market Overview - Major U.S. indices closed lower, with the Dow Jones Industrial Average down 0.13% to 50,121.40, the S&P 500 finishing flat at 6,941.47, and the Nasdaq falling 0.16% to 23,066.46 [1] AppLovin Corporation - AppLovin stock decreased by 3.41% to close at $456.81, trading between an intraday high of $471.97 and a low of $438.18, remaining below its 52-week peak of $745.61 but above its 52-week low of $200.50 [2] McDonald's - McDonald's shares fell 0.85% to finish at $323.21, with an intraday high of $325.20 and a low of $320.81, just under its 52-week high of $328.06 and above its 52-week low of $283.47 [2] Cisco Systems - Cisco Systems stock eased 0.84% to close at $85.54, trading between an intraday high of $87.14 and a low of $85.12, hovering near a 52-week high of $88.18 and well above a 52-week low of $52.11; in after-hours trading, the stock fell 7.3% to $79.26 [3] - Cisco projected third-quarter revenue between $15.4 billion and $15.6 billion, exceeding estimates of $15.18 billion, and adjusted earnings of $1.02 to $1.04 per share, compared to estimates of $1.03 per share; the company also raised its fiscal 2026 revenue guidance to $61.20 billion to $61.7 billion from a prior outlook of $60.20 billion to $61 billion [4] QuantumScape Corporation - QuantumScape stock declined 1.34% to end at $8.82, with an intraday high of $9.13 and a low of $8.60, trading well below its 52-week high of $19.07 but above its 52-week low of $3.40; shares fell nearly 10.5% to $7.89 in extended trading [5] - The company reported a fourth-quarter loss of 17 cents per share, better than the expected 18-cent loss; capital expenditures totaled $12.3 million for the fourth quarter and $36.3 million for the full year 2025, with customer billings reaching $19.5 million for the year [6] AST SpaceMobile - AST SpaceMobile shares increased by 0.68% to close at $96.92, trading between a session high of $102.85 and a low of $93.20, still below its 52-week high of $129.87 but far above its 52-week low of $18.22 [7] - Cisco stock has a Momentum ranking in the 81st percentile and a Value ranking in the 18th percentile according to Benzinga Edge Stock Rankings [7]

Financial Data and Key Metrics Changes - GAAP operating expenses for Q4 2025 were $110.5 million, and the GAAP net loss was $100.1 million. For the full year 2025, operating expenses totaled $472.6 million, with a net loss of $435.1 million [11] - Adjusted EBITDA loss for Q4 was $63.3 million, aligning with expectations, while the full-year loss was $252.3 million, within guidance [11] - The company ended 2025 with $970.8 million in liquidity, maintaining a strong balance sheet for future operations [13] Business Line Data and Key Metrics Changes - Customer billings for full-year 2025 were $19.5 million, marking the first billings issued by the company [12] - The Eagle Line, a pilot cell production line, was installed to support scalable production and customer sampling [6][7] Market Data and Key Metrics Changes - The automotive market remains the core focus, with significant interest in solid-state batteries from various automotive OEMs [17][20] - The company aims to expand into new high-value markets, including data centers and robotics, leveraging its solid-state technology [8][34] Company Strategy and Development Direction - The company successfully integrated the Cobra process into its production baseline, enabling gigawatt-hour scale production [4] - Goals for 2026 include demonstrating scalable production with the Eagle Line, advancing automotive commercialization, and expanding into new markets [6][7][8] - The company emphasizes a capital-light business model, focusing on licensing and partnerships rather than heavy capital investments [59][80] Management's Comments on Operating Environment and Future Outlook - Management views the current challenges in technology and supply chains as opportunities for growth, positioning the company to offer innovative energy storage solutions [9][10] - The long-term trend towards electrification in the automotive sector is expected to continue, with solid-state batteries playing a crucial role [17][20] Other Important Information - The company expressed gratitude to Professor Dr. Fritz Prinz for his service on the board, highlighting the importance of leadership during a transformative period [10] - The Eagle Line serves as a blueprint for production, allowing customization for different customer needs while maintaining a scalable approach [15][96] Q&A Session Summary Question: Significance of the Eagle Line inauguration - The Eagle Line is crucial for demonstrating scalable production and serves as a platform for technology commercialization [14] Question: Opportunities beyond automotive - Automotive customers remain the core focus, but the company is exploring applications in data centers and robotics due to the versatility of its technology [17][34] Question: 2025 performance assessment - 2025 was characterized as a strong year with a 10% year-over-year improvement in Adjusted EBITDA loss, reflecting a focus on cost efficiency [20] Question: Conditional cash inflows change - The change in conditional cash inflows from $261 million to $150 million reflects a more conservative view of billings and development payments [49][61] Question: Impact of Volkswagen's funding cuts - The relationship with PowerCo remains strong, and the company continues to work on agreed-upon scopes without disruption [54][56] Question: Scaling different form factors for new markets - The licensing model allows for flexibility in scaling different form factors without heavy capital investment, adapting to customer needs [59][96]

Financial Data and Key Metrics Changes - GAAP operating expenses for Q4 2025 were $110.5 million, and the GAAP net loss was $100.1 million. For the full year 2025, operating expenses totaled $472.6 million, with a net loss of $435.1 million [11] - Adjusted EBITDA loss was $63.3 million in Q4, aligning with expectations, and for the full year 2025, it was $252.3 million, which was within guidance [11] - The company ended 2025 with $970.8 million in liquidity, maintaining a strong balance sheet for future operations [13] Business Line Data and Key Metrics Changes - Customer billings for the full year 2025 were $19.5 million, marking the first customer billings for the company [12] - The Eagle Line, a pilot cell production line, was inaugurated, which is expected to demonstrate scalable production and support customer sampling and testing [6][7] Market Data and Key Metrics Changes - The company expanded its collaboration with PowerCo and added two major global automotive OEMs to its customer portfolio, indicating strong market interest [5][9] - The automotive market remains the core focus, with expectations of continued growth in electrification and solid-state battery technology [17][91] Company Strategy and Development Direction - The company aims to demonstrate scalable production with the Eagle Line, advance automotive commercialization, expand into new high-value markets, and go beyond the QSE-5 technology [6][8] - The strategic outlook emphasizes the importance of a disciplined execution approach to meet ambitious goals for 2026 [9] Management's Comments on Operating Environment and Future Outlook - Management views the current challenges in technology and supply chains as opportunities to offer solutions through their advanced energy storage technology [9] - The long-term trend towards electrification and the increasing demand for solid-state batteries are seen as positive indicators for future growth [90][91] Other Important Information - The company recognized the retirement of Professor Dr. Fritz Prinz from the board of directors after over 15 years of service [10] - The Eagle Line is designed to be adaptable for various customer needs, allowing for customization without significant capital investment [97] Q&A Session Summary Question: Significance of the Eagle Line inauguration - The Eagle Line is crucial for demonstrating scalable production and serves as a platform for technology commercialization [14] Question: Opportunities beyond automotive - Automotive customers remain the core focus, but the company is exploring applications in data centers, robotics, and aviation due to the versatility of their technology [17][18] Question: 2025 performance assessment - 2025 was characterized as a strong year with a 10% year-over-year improvement in Adjusted EBITDA loss, reflecting a focus on cost-effectiveness [20] Question: Changes in conditional cash inflows - The change in conditional cash inflows from $261 million to $150 million reflects a more conservative view of billings and agreements with partners [49][61] Question: Impact of Volkswagen's funding cuts - The relationship with PowerCo remains strong, and the company continues to work on agreed-upon scopes without disruption [54][56] Question: Scaling different form factors for new markets - The licensing and capital-light business model allows for flexibility in scaling different form factors without significant capital expenditure [59] Question: KPIs for 2026 goals - The company will provide updates on progress towards its quantitative goals for 2026, focusing on efficiency and partnerships [94][95]