Lucid Group (NASDAQ:LCID) Trading Down 9.9% – Here’s What Happened

Lucid Group, Inc. (NASDAQ:LCID) shares dropped 9.9% during mid-day trading on Tuesday . The company traded as low as $5.99 and last traded at $6.00. Approximately 12,446,774 shares were traded during mid-day trading, an increase of 1% from the average session volume of 12,364,580 shares. The stock had previously closed at $6.66.

Trending Headlines about Lucid Group

Here are the key news stories impacting Lucid Group this week:

• Positive Sentiment: Lucid’s recent Q2 production and delivery update helped lift sentiment earlier in the week, with investors reacting to year-over-year gains and a leadership overhaul aimed at improving execution. Lucid Stock Surges on Strong EV Delivery and Production Results
• Positive Sentiment: The broader EV sector saw a rebound on Monday, which briefly supported LCID alongside rivals like Tesla and Rivian. Tesla Rises 6% on Robotaxi and Delivery Momentum, Rivian and Lucid Jump 7%, Nio Gains 5% in EV Sector Rally
• Neutral Sentiment: Analysts and market commentary continue to focus on Lucid’s leadership reset and whether the stock remains undervalued after the restructuring. Lucid Group (LCID) Resets Leadership, Is It Still 21% Undervalued?
• Negative Sentiment: Multiple law firms announced or reiterated shareholder class actions tied to alleged misleading statements about Lucid’s business, deliveries, and manufacturing capabilities, adding legal uncertainty for investors. Pomerantz Law Firm Announces the Filing of a Class Action Against Lucid Group, Inc. and Certain Officers – LCID
• Negative Sentiment: The stock also came under pressure as investors were reminded that Lucid remains capital-intensive, with concerns about cash needs and profitability continuing to weigh on sentiment. Why Lucid Stock Dropped Today

Wall Street Analyst Weigh In

A number of brokerages have issued reports on LCID. Benchmark cut shares of Lucid Group from a “buy” rating to a “hold” rating in a report on Wednesday, May 6th. Weiss Ratings reaffirmed a “sell (e+)” rating on shares of Lucid Group in a research note on Wednesday, June 24th. Robert W. Baird set a $6.00 price objective on Lucid Group in a report on Wednesday, May 6th. Cantor Fitzgerald reiterated a “neutral” rating and set a $14.00 target price on shares of Lucid Group in a research report on Monday, May 4th. Finally, Morgan Stanley set a $5.00 target price on Lucid Group in a report on Wednesday, May 6th. One investment analyst has rated the stock with a Buy rating, seven have given a Hold rating and three have given a Sell rating to the stock. According to MarketBeat.com, the stock has a consensus rating of “Reduce” and an average target price of $9.67.

Lucid Group Stock Down 10.1%

The company has a debt-to-equity ratio of 3.00, a current ratio of 1.02 and a quick ratio of 0.48. The firm’s 50-day moving average price is $5.83 and its 200 day moving average price is $8.62. The firm has a market capitalization of $2.34 billion, a price-to-earnings ratio of -0.45 and a beta of 0.83.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently added to or reduced their stakes in the company. Tudor Investment Corp ET AL acquired a new stake in shares of Lucid Group during the 3rd quarter worth about $1,361,978,000. Uber Technologies Inc acquired a new position in shares of Lucid Group in the third quarter valued at approximately $326,283,000. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. lifted its stake in shares of Lucid Group by 39.2% during the second quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 12,309,476 shares of the company’s stock valued at $25,973,000 after buying an additional 3,465,542 shares during the period. Vanguard Group Inc. boosted its position in Lucid Group by 6.2% during the fourth quarter. Vanguard Group Inc. now owns 12,061,286 shares of the company’s stock worth $127,488,000 after acquiring an additional 701,826 shares during the last quarter. Finally, Goldman Sachs Group Inc. grew its stake in Lucid Group by 112.0% in the 1st quarter. Goldman Sachs Group Inc. now owns 5,440,620 shares of the company’s stock worth $13,166,000 after acquiring an additional 2,874,603 shares during the period. 75.17% of the stock is currently owned by hedge funds and other institutional investors.

About Lucid Group

Lucid Group, Inc is a California-based electric vehicle manufacturer specializing in the design, engineering and production of luxury electric sedans. Its flagship model, the Lucid Air, features a proprietary battery and powertrain architecture that emphasizes energy efficiency, extended driving range and high performance. In addition to passenger vehicles, Lucid offers charging solutions and software-enabled services aimed at optimizing the ownership experience and accelerating adoption of zero-emission transportation.

The company was founded in 2007 under the name Atieva, initially focusing on battery technology and electric powertrains for other automakers before transitioning to its own branded vehicles.