EV maker Lucid (LCID) recently posted a wider-than-expected loss in Q3 due to higher input costs and tariffs. In addition, it lowered its 2025 production forecast to 18,000 vehicles from the earlier range of 18,000 to 20,000. As a result, Stifel (SF) maintained its Hold rating on the stock. This is because the firm expects Lucid will need more funding in the next few years and said that there is still little clarity on future products, such as the Gravity SUV and the upcoming midsize EV.
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Even though Stifel still sees some upside, it reduced its price target on Lucid from $21 to $17 per share, which implies about 33% growth from the current price. However, investor confidence continues to slip. In fact, Lucid shares have now fallen for seven consecutive days and have hit an all-time low. The latest drop follows a mix of weak earnings, leadership changes, a senior note offering, and now Stifel’s cautious outlook.
Interestingly, five-star Stifel analyst Stephen Gengaro called the Lucid Air an excellent car with strong technology, but pointed to several roadblocks that could slow growth. These include weak production execution, uncertainty around profit margins, high interest rates, rising cash burn, and U.S. policy changes that are impacting EVs. This caused Lucid’s stock to drop another 9% in today’s trading for a year-to-date loss of 57%.
Is LCID Stock a Good Buy?
Overall, analysts have a Hold consensus rating on Lucid stock based on one Buy, eight Holds, and two Sells assigned in the past three months, as indicated by the graphic below. Furthermore, the average Lucid price target of $19.40 per share implies 51.2% upside potential.
