Lucid Group ( (LCID) ) has fallen by -12.66%. Read on to learn why.
Elevate Your Investing Strategy:
- Take advantage of TipRanks Premium at 50% off! Unlock powerful investing tools, advanced data, and expert analyst insights to help you invest with confidence.
Lucid Group has seen its stock price fall by 12.66% over the past week, driven by a series of disappointing financial and operational updates. The electric vehicle maker reported a 47% year-over-year increase in third-quarter deliveries, but these figures still fell short of market expectations. Analysts have expressed concern over Lucid’s ability to meet its full-year production targets, especially after the expiration of the federal EV tax credit, which was expected to boost demand.
The bearish sentiment surrounding Lucid Group has been exacerbated by a downgrade from CFRA analyst Garrett Nelson, who shifted his rating from Sell to Strong Sell, maintaining a price target of $10. This downgrade was largely due to Lucid’s Q3 delivery and production results, which were significantly below estimates. Nelson also highlighted the challenges Lucid faces in achieving its production goals for the remainder of the year, suggesting that the company would need to significantly ramp up production in the final quarter.
Despite the current challenges, there is still some optimism among analysts, with a Hold consensus rating on the stock and an average price target suggesting potential upside. However, the market remains cautious, with concerns about ongoing production issues and the impact of external factors like tariffs and market conditions. Investors are closely watching Lucid’s upcoming earnings report and its ability to navigate these challenges in the competitive EV market.