Although shares of Lucid (NASDAQ:LCID) stock have lost more than 25% year-to-date (YTD), shareholders are hoping that fourth-quarter earnings will turn things around. The electric vehicle (EV) maker will report earnings today after the bell, with a subsequent earnings call at 5:30 PM Eastern Standard Time (EST).
During its Q3 earnings call, Lucid gave an internal production goal of 20,000 units for 2022. So, what else should investors watch when Lucid reports Q4 earnings? And how will it affect LCID stock?
Here’s what investors should know.
LCID Stock: Watch for Revenue and EPS
Revenue is a key statistic to watch for any company. For Q4, analysts expect to see revenue of $36.74 million. These sales will be driven by Lucid satisfying its customer reservations, which were over 17,000 in Q3. The company’s flagship car, the Lucid Air, starts at $78,900 and sells for as high as $170,500. Barron’s estimates the Q4 revenue figure implies the sale of 250 EVs during the period. As for the internal production goal of 20,000 vehicles, that figure suggests yearly revenue of $2 billion.
Another key statistic to keep note of here is earnings per share (EPS). For Q4, analysts expect an EPS loss of 35 cents. While still unprofitable, that EPS estimate would represent an increase from the third-quarter EPS loss of 43 cents. Lucid will remain unprofitable for the foreseeable future as it works to ramp up production and expand its market reach.
To that end, Lucid is expanding its production capabilities for its AMP-1 manufacturing facility in Arizona. The facility is expected to have the capacity to produce 90,000 vehicles per year by 2023. In addition, the EV maker expanded into Canada during Q4, so investors will want to look out for Canadian reservation figures. By 2023, Lucid expects to expand into Europe, the Middle East, Africa and China.
What’s Next For Lucid?
Finally, investors will want to see whether Lucid reports guidance or not when it reports earnings today. During Q3, the EV maker did not release revenue or EPS guidance for Q4. However, for Q1, analysts are expecting revenue of $212 million on top of an EPS loss of 24 cents. For full-year 2022, revenue is estimated at $2.01 billion. Investors will also want to see if the company changes its 2022 production goal of 20,000 vehicles.
All eyes are on Lucid as it reports the second quarterly earnings report since closing its special purpose acquisition company (SPAC) merger.
On the date of publication, Eddie Pan did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
