Lucid Group Faces Financial Challenges as Stock Plummets 87%
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 2h ago
0mins
Source: Fool
- Market Environment Deterioration: Lucid Group went public via SPAC in 2021, but its stock has since plummeted over 87%, reflecting severe volatility in the EV market and declining investor confidence.
- Concerning Financials: As of the first three quarters of 2025, Lucid reported a loss of $8.50 per diluted share, coupled with high cash burn and debt pressures, indicating vulnerability in the highly competitive EV sector.
- Production Target Challenges: Lucid delivered nearly 4,100 vehicles in Q3, with an annual target of 18,000, necessitating 7,500 deliveries in Q4, which poses significant pressure and could impact future market performance.
- Collaborative Investment Outlook: Despite challenges, Uber invested $300 million in Lucid in July to develop robotaxis, planning to roll out over 20,000 units in the next six years, indicating recognition of Lucid's long-term potential.
LCID
$11.81+Infinity%1D
Analyst Views on LCID
Wall Street analysts forecast LCID stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for LCID is 18.82 USD with a low forecast of 10.00 USD and a high forecast of 30.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
12 Analyst Rating
1 Buy
9 Hold
2 Sell
Hold
Current: 11.630
Low
10.00
Averages
18.82
High
30.00
Current: 11.630
Low
10.00
Averages
18.82
High
30.00
About LCID
Lucid Group, Inc. is a technology company, which designs, engineers, and manufactures electric vehicles (EVs), EV powertrains, and battery systems in-house using its own equipment and factories. It sells vehicles directly to consumers through its retail sales network and through direct online sales. Its vehicles include Lucid Air and Lucid Gravity. Lucid Air is an advanced car, featuring powertrain technology. It offers 420 miles of the United States Environmental Protection Agency (EPA)-estimated range, with an 84-kWh battery pack. The Lucid Air Sapphire is the highest-performance version of the Lucid Air, boasting 1,234 horsepower from three motors, 427 miles of an EPA-estimated range (when equipped with standard wheel covers). The Lucid Gravity provides the interior space and practicality of a full-size SUV within the exterior footprint of a mid-size SUV. It provides space for up to seven adults. It has engineered the Lucid Gravity to deliver up to 450 miles of EPA-estimated range.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
