QuantumScape Corp. (QS) shares are soaring 5.07% in intraday trading, reversing earlier premarket losses following the release of its Q2 2025 results. The solid-state battery maker's stock is benefiting from an expanded collaboration agreement with PowerCo and positive analyst reactions.

The company announced an expanded partnership with PowerCo, introducing up to $131 million in new payments over two years tied to commercial milestones. Additionally, QuantumScape signed a new joint development agreement (JDA) with another major global automotive OEM, signaling progress in its commercialization efforts. These developments have sparked optimism among investors about the company's future prospects in the electric vehicle battery market.

Adding to the positive sentiment, several analysts have raised their price targets for QuantumScape. Deutsche Bank increased its target from $5 to $8, while Baird lifted its projection from $6 to $11, both maintaining their respective ratings. The higher price targets reflect growing confidence in QuantumScape's technology and business model. With a strong liquidity position of $797.5 million at the end of Q2, extending its cash runway into 2029, the company appears well-positioned to continue its research and development efforts in solid-state battery technology.