Lucids core EV technology is designed in-house and manufactured at its Arizona facility. Peers EV/FY23 Revenue Comps. Is it 30% like Tesla? Founded in 1993 by brothers Tom and David Gardner, The Motley Fool helps millions of people attain financial freedom through our website, podcasts, books, newspaper column, radio show, and premium investing services. Where Tesla stands to lose a lot of market share, we think Lucid can step in and dominate. The company posted a record FQ3 in deliveries, while their legacy OEM peers pointed to supply chain bottlenecks. Buy LCID stock on weakness. Should I buy or sell Lucid Group stock right now? Lucid believes it can generate approximately $2.2 billion in revenue this year by shipping 20,000 vehicles. Its Stock Is Diving. I was previously an Executive Director with a global financial services corporation. Rivian Stock Price Prediction 2025 | What To Expect? As I pointed out recently, Rivian Automotive (NASDAQ:RIVN), another would-be Tesla killer, has a healthy preorder backlog. Rising competition could prevent Lucid from reaching the sales volume needed to reach profitability. If Tesla achieves full autonomy, it could create significant competitive advantages for the company against Lucid. Our Ai stock analyst implies that there will be a negative trend in the future and the LCDX shares are not a good investment for making money. Its Air Grand Touring Performance Range was anticipated to be available for deliveries from June 2022. It means that we will be able to provide a car, which is competitive with range, at 300 miles, 400 miles. Since then, changing economic and stock market conditions, coupled with company-specific challenges, have pushed LCID down to sub-$10 per share prices. That would represent an incredible 49.5% CAGR over eight years. It has since been updated to include the most relevant information available.]. However, one EV stock that survived the broader sell-off was Lucid Group (LCID -7.81%), which has seen its stock nearly double in value over the past three months. And never invest more than you can afford to lose. The company reported a highly impressive gross margin of 28.8% in FQ3. Worse yet, continued unprofitability could have a negative impact on the stock. The company reported $494.6m operating costs , up from $218.7m in Q1 2021. Since then, it announced that Gravity will enter production in 2024. The Value Of Lucid Can Reach $127 USD In The Next 5 Years. And that gives the startup ample room to take the industry lead. While Tesla (TSLA -1.51%) holds the pole position as the most recognizable luxury EV maker, Lucid Motors -- soon to merge with the SPAC Churchill Capital IV (CCIV) -- is racing ahead in its attempt to challenge the EV king of the road. Is Lucid Motors a Buy as its Merger Approaches? NIO Stock Price Prediction 2025 | What To Expect From NIO? Lucid Group: The Stock Has Run Hot, Wait For A Drop Nov 16. Please disable your ad-blocker and refresh. When can I buy Lucid Motors stock? Find the latest Lucid Group, Inc. (LCID) stock quote, history, news and other vital information to help you with your stock trading and investing. Lucid's AMP-1 manufacturing plant in Arizona has an annual production capacity of 34,000 vehicles. With an SEC investigation on its SPAC merger with the Churchill group and bearish conditions in the broader EV market, Lucid stock has lost over 50% of its stock value since the start of this year. Notably, Lucid's target is to reach 500K annually by the end of 2030, as Rawlinson emphasized (edited): Right now, we're laser-focused on growing the scale towards 20K units next year, then 50K. Please log in to your account or sign up in order to add this asset to your watchlist. Lucid Motors will be selling hundreds of thousands of cars a year, at super-high price points, with extremely favorable margins. Experts have given varied opinions on the future of the Lucid stock, with some predicting it could reach $66 in 2023 and $100 in 2024. On 5 May, Lucid Group released its financial results for the first quarter of 2022 ended 31 March. Why Is SoFi Stock Down After Earnings? The car has an industry-leading range of 520 miles. In 2021, the fund committed to purchasing at least 50,000 electric vehicles and up to 100,000 electric cars from Lucid Motors over ten years. LCID is currently trading at an EV/FY23 Revenue of 18.4x. The stock price is great, House said in an interview with CNBC. He went on to say that when you look at the current state of the company and where its headed, thats really all we have to be excited about. As a technology company, we have a platform that can be used across a broad range of industries, from vehicles to sustainable energy.. Lucid Group has received a consensus rating of Hold. Your current $100 investment may be up to $468.09 in 2027. The company designs, manufactures and supplies battery packs for gen2 Formula E race teams for the 2018-2019 season through the 2021-2022 season. But sometimes, even great things must come to an end. The products and services listed on this website are not available to US residents. Lucid plans to increase its annualized production run rate from 20K by 2022 to 500K by 2030. Lucid Motors Now Has 11,000 Vehicle Reservations, It's Official: Lucid Motors Closes SPAC Deal and Debuts as "LCID" on Monday, Why Churchill Capital IV Stock Slumped Today. Since this share has a negative outlook we recommend looking for other projects instead to build a portfolio. Sign-up to receive the latest news and ratings for Lucid Group and its competitors with MarketBeat's FREE daily newsletter. Hence, we thought it would be critical if Lucid could demonstrate similar ambitions and capability in software and autonomous driving. For years, EV stocks followed TSLA wherever it went. The implication? Charles Coldicott from Redburn went a step ahead and said that Lucids Air Sedan in addition to being the longest-range EV is ahead of Teslas product in some other areas. But LCID stock isnt the only one on my radar. The vehicle . And late last year, the company reportedly increased investments into the project so as to accelerate its development timeline. The company remains hopeful of meeting its production targets of 12,000 to 14,000 vehicles for 2022. Learn More. Rawlinson said: "I don't profess to be the software guy. Overall, if you enjoyed this article, then please show your support by giving us a 5-star rating from the bottom left corner of this post and sharing it with your friends. As such, it offers investors with invaluable insights into understanding market behavior and sentiments., Plus, stay ahead of the game with our general stock analysis across a wide range of sectors and industries., Improve your returns and stay ahead of the curve with our short- to medium-term stock analysis., We not only identify long-term potential but also seize opportunities to profit from short-term market swings, using a combination of long and short set-ups.. We design, jointly manufacture, and sell smart and connected premium electric vehicles, driving innovations in next generation technologies in connectivity, autonomous driving and artificial intelligence. It's almost unheard of in the legacy OEMs world. In addition, LCID stock's valuation seems to have baked in a considerable amount of speculative fervor, which we don't find suitable for a long-term investment over a five-year horizon. As far as Im concerned, the skys the limit. Expect LCID to continue languishing in the stock market junkyard, Source: Around the World Photos / Shutterstock.com. We believe it's a tall order, a very ambitious target. Making the world smarter, happier, and richer. : Lucid Group currently holds about 3.34 B in cash with (2.23 B) of positive cash flow from . Tesla (TSLA) has been the industry leader for years. How many years before taxes are forgiven? Its first car would be Lucid Air, which will go for production later this year. The value of shares and ETFs bought through a share dealing account can fall as well as rise, which could mean getting back less than you originally put in. (from Insider article). Lucid Groups cash used in operating activities grew by 126% to account for costs associated with phase-2 of its EV production facility. Therefore, we rate LCID stock at Neutral for now. The company earns $-1,304,460,000.00 in net income (profit) each year or ($1.06) on an earnings per share basis. Get stock recommendations, portfolio guidance, and more from The Motley Fool's premium services. The long-term earning potential is +7.44% in one year. The CEO also acknowledges this is not his forte. You should do your own research. (844) 978-6257. Better EV Stock: Lucid Group vs. Faraday Future, Despite Its Falling 92%, Cathie Wood Is Buying More of This Growth Stock. A hold rating indicates that analysts believe investors should maintain any existing positions they have in LCID, but not buy additional shares or sell existing shares. In five years time, the LCID future stock price is estimated to be $136.91. This move attracts even more retail traders. If we assume (again) that the company meets its revenue forecast, it will translate to a free cash flow margin of 6.7%, the same margin that Tesla has reported over the past 12 months. As you may recall, the SPAC predecessor to LCID stock hit prices nearing $65 per share around two years ago, on expectations that this EV startup was going to be the ultimate Tesla killer. With most of its valuation still built . Tesla CEO Elon Musk emphasized: "If it takes a couple of days for a model to train versus a couple of hours, it's a big deal.". 5 Hypergrowth Stocks With 10X Potential in 2023, Q1 Earnings Is Giving Stocks the All-Clear, Rare Stock Indicators Show the Market Is About to Skyrocket, One Chart That Indicates This Bear Market Is Ending, The Forever Battery That Promises to Change the EV Industry, 3 Superior Hydrogen Stocks to Buy for the $11 Trillion Breakout. The 31st pick in last year's first round, Michigan safety Daxton Hill, signed a $11.667 million . 8 Wall Street research analysts have issued 12-month price targets for Lucid Group's shares. The $169,000 car comes with by far the longest EPA-rated range among EV competitors, with up to 520 milesbesting the closest Tesla by more than 100 miles. By January 2027, 5 years from now, Wallet Investor's projected stock price for LCID was in the range of $57.511 to $58.461. Data source: Company filings. A game plan for the next six to 12 months? Q. However, Rawlinson's ultimate objective is to use its technology to foster mass adoption worldwide. Always do your own research. Lucid Group had a negative trailing twelve-month return on equity of 39.86% and a negative net margin of 214.49%. It looks like Lucid will be the winner of the luxury EV race, at least for the next few years. The Motley Fool has a disclosure policy. I currently hold the rank of Major. In the same quarter last year, Lucid Group's revenue was $334.00 thousand. Lucid Motors also estimates that it will deliver over 20,000 vehicles by the end of 2022. In 2026, Lucid expects to generate $22.8 billion in revenue by delivering about 251,000 vehicles, including 42,000 sedans, 134,000 SUVs, and 75,000 new models. Moreover, Business Insider reported recently that Lucid's lack of experience in software could be troubling as it intends to compete with Tesla and the Chinese EV makers. This means it may be maxing out its underlying tech. But that isn't surprising, since Tesla also endured the same growing pains over the past decade. Lucid Group has received a consensus rating of Hold. Lucid Group completed customer deliveries of 360 Lucid Airs in the first quarter. Since the start of this year, Lucid stock has plummeted by nearly 55% from $40.93 to its last close price of $18.96 on 8 June 2022. Risk warning: onducting operations with non-deliverable over-the-counter instruments are a risky activity and can bring not only profit but also losses. Itll also have stores in all the high-class malls, like Tesla does today. Therefore Lucid expects to match Tesla . But as you know, I'm very open here in Silicon Valley to potential partnerships in terms of the software. Sign up now for a Risk-Free 14-Day free trial! With an initial capacity to manufacture approximately 10,000 EVs annually, the facility has the functionality to produce over 300,000 cars with planned expansions. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. And if those gains are as large as we expect, LCID stock will power much higher. Even Lucid also acknowledges the risks. Based on the belief that it'll sell about 1,000 vehicles this year, Lucid expects to book $97 million on the top line. Lucid hopes to undercut Tesla with its Air Pure base version, capable of driving 406 miles and priced at just $77,400 excluding a $7,500 federal tax credit. Netflix. Therefore Lucid expects to match Tesla's stupendous capacity ramp over the last five years, but for eight immaculate years. But with a market cap of nearly $75 billion, Lucid's stock is already priced for perfection at 34 times that sales estimate. While that battle has waned, a new one seems to be rising: one involving electric vehicles (EVs). Seeking Alpha's Disclosure: Past performance is no guarantee of future results. The Motley Fool owns shares of and recommends Tesla. Tesla LTM production. Lucid Motors (LCID) is one of my favorite EV stocks in the game. The outlook for the future price of Lucid stock is positive, with the company having made $24 billion in earnings and consistently increasing revenue in the past year. Instead . View our LCID earnings forecast. . Lucid Group Inc real time quote is equal to 7.000 USD at 2023-04-25, but your current investment may be devalued in the future. But I see that as a potential bonus, I think the default position is going to be to develop that software now and take that to world-class standard based upon the hardware suite we've got and to develop that in-house. Additionally, the Russian invasion of Ukraine has further caused a dip in its stock performance owing to an uncertain macro environment. As of June, Lucid Group is accepting reservations for its EVs from customers across several European nations, including Austria, Denmark, Belgium and the Netherlands. This suggests a possible upside of 44.6% from the stock's current price. These were valuations based on their reservations and long-term forecasts, instead of actual revenue or profits. Scott Levine has no position in any of the stocks mentioned. Now we're planning as a default to do that in-house, and we're building the team. Not quite. Phase-2 of its Casa Grande facility operations is currently underway. In addition to Ford and Gores Guggenheim (which is slated to join with electric vehicle manufacturer Polestar), the top 30 stock orders also included Gores Guggenheim. Lucid Motors also partners with Amazon to build compatibility with Amazon's Alexa voice assistant, allowing drivers to use the voice assistant for navigation, phone calls, media streaming and intelligent home control while driving. The firm has attracted investments from Tsing Capital, Mitsui, Venrock, and JAFCO. The ascent of Tesla and the leading Chinese EV makers has a lot to do with their brands and the growing EV adoption observed in China (#1 EV market) and Europe (#2 EV market). Lucid Group's stock is owned by many different institutional and retail investors. Learn More. Founded in 2007, the company has established a reputation for producing high-end electric vehicles. The Final Word on Lucid Pessimistic target level: 8.14. Whether you should invest in the Lucid stock market depends on your personal investing goals and portfolio composition. Lucid plans to increase its annualized production run rate from 20K by 2022 to 500K by 2030. In addition, the company's last-twelve-months (LTM) production run rate has increased tremendously. The LCID stock price has the potential to reach $57.80 in the next year. Therefore, investors should be circumspect about taking managment's projections at face value, considering an investment with caution and weighting the risks accordingly. To make the world smarter, happier, and richer. Software will most likely shape the future of the automobile industry, especially when it comes to autonomous driving software. The 2023 bump in pay extends throughout the draft. Making the world smarter, happier, and richer. Several electric vehicle (EV)-related companies went public in 2021 through mergers with special purpose acquisition companies (SPACs). Insider reported (edited): A former Lucid employee said that Rawlinson wants to do "in two years in software what Tesla has done in 13. On the date of publication, Thomas Nieldid not hold (either directly or indirectly) any positions in the securities mentioned in this article. Which credit score is most important TransUnion or Equifax? As this figure came in ahead of its most recent guidance (between 6,000 and 7,000 vehicles), this may suggest that the supply chain bottlenecks that forced Lucid to cut back production targets several times have eased. That expansion will be very difficult for an unprofitable company to pull off. By 2026, however, management expects SUV deliveries of about 134,000 to outnumber Air deliveries (about 42,000). Lucid Group, Inc. ( NASDAQ: LCID) announced an $8 billion universal shelf prospectus filing on Monday (August 29 th) after market close. Their LCID share price forecasts range from $5.00 to $13.00. My frank observation is that Chinese automobile companies are the most competitive in the world, especially because some are very good at software. Peter Rawlinson joined Lucid Motors in 2013 as chief technology officer, a role he has maintained since being named CEO of the company in April 2019. Now, the tough part comes as it begins volume production and schedule for deliveries. Its Air Dream stands alone as the best performance EV in the market. It's a distinction that CEO Peter Rawlinson has envisioned from the start to build the "best car in the world." How many times does Coca Cola pay dividends? The upstart manufacturer aired a commercial during the episode of Saturday Night Live that Tesla CEO Elon Musk hosted earlier this month. Lucid Group generated a negative expected return over the last 90 days: Lucid Group has high historical volatility and very poor performance: The company reported the previous year's revenue of 608.18 M.Net Loss for the year was (1.3 B) with loss before overhead, payroll, taxes, and interest of (1.04 B). The consensus among Wall Street analysts is that investors should "hold" LCID shares. On the date of publication, Luke Lango did not have (either directly or indirectly) any positions in the securities mentioned in this article. The official website for the company is iv.churchillcapitalcorp.com. Lucid Motors' car sales in 2025. Nasdaq Rawlinson highlighted that the company is on track to produce 20K units by 2022 and 50K by 2023, indicating a 150% YoY increase in its run rate. CEO, CTO & Director exercised options to buy US$5.4m worth of stock. Is SoFi Stock a Buy Now? Please. Lucid (LCID) to Report Q1 Earnings: What's in the Offing? Save my name, email, and website in this browser for the next time I comment. On 18 May, Lucid Group hosted a signing event for the construction of its first-ever international production factory in Saudi Arabia. Current Price. Get short term trading ideas from the MarketBeat Idea Engine. Over the next five years, Lucid foresees considerable growth in production, including the introduction of an SUV, Project Gravity, in 2023. Nov 29. The company is scheduled to release its next quarterly earnings announcement on Monday, May 8th 2023. The company added: We are an early-stage company with a limited operating history, operating in a rapidly evolving and highly regulated market. 84% of retail investor accounts lose money when trading CFDs with this provider. In seeking to grow vehicle deliveries from less than 1,000 in 2021 to 251,000 five years later, management clearly anticipates considerable success in convincing customers to hop into its driver seats. That would represent an incredible 49.5% CAGR over eight years. 1 Total contract value: $41.2 million, signing bonus: $26.9 million It appears highly unlikely this EV maker will come even close to hitting past lofty projections such as six-figure vehicle sales volume by 2025. Lucid Group reported a nationwide presence through 40 body shops and 24 studio and service centres spanning across North America. Since Lucid only started deliveries of the Air at the end of October, it shouldn't come as a surprise that the company isn't profitable yet. One share of LCID stock can currently be purchased for approximately $7.32. I/we have a beneficial long position in the shares of TSLA, NIO either through stock ownership, options, or other derivatives. You're reading a free article with opinions that may differ from The . On the other hand, Lucid stock might not make a good short-term bet, due to inflationary rates in the U.S. Inflation reached a 39-year high of 7% in December 2021. A high valuation at $14.3 billion is not worth the risk of failing to . Another EV Start-up Has Cash, Production Problems. 8 analysts have issued 12-month price targets for Lucid Group's shares. Lucid at current prices sports a $16 billion market cap, against trailing 12 month losses of around $1.9 billion, and a tangible book value of $3.2 billion. Q. Lucid Group, Inc. has completed a Follow-on Equity Offering in the amount of $600 million. No part of the website content that we provide should considered as financial advice, legal advice or any other form of advice meant for your investment. Shares of LCID stock can be purchased through any online brokerage account. The Air is powered by two electric motors and can reach a software-limited top speed of 349 miles per hour. In-depth profiles and analysis for 20,000 public companies. 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