Lucid Can Get a Boost From Its Brand New EV Model

LCID stock - Lucid Can Get a Boost From Its Brand New EV Model

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Lucid (NASDAQ:LCID) just shared positive news about its electric vehicles (EVs). The company is delivering more cars, and these numbers are crucial for LCID stock to succeed this year.

Besides this, the company is debuting a new edition of the powerful Air luxury sedan. LCID stock moved up 3% after the news and closed yesterday at $22.05. The stock has been on a downward spree over the past week and this news might help with an eventual rebound. 

The Lucid Air Grand Touring Performance will have 1,050 horsepower and a starting price of $179,000. Critics are already impressed with this car and are looking forward to the performance of the 1,111 horsepower Lucid Air Dream Edition.

The company capped production of the Dream Edition to only 520 vehicles. The Grand Touring Performance will be similar to it, but will have a starting price $10,000 higher and will not be as limited in production.  

The new vehicle is in the initial stages of production, and the company has suffered a lot of backlash due to low delivery numbers. It lowered its production guidance from 20,000 vehicles to around 12,000 to 14,000 vehicles for the year. It also pushed back the production of the Gravity SUV to 2024. This has led to a significant dip in LCID stock, which has lost almost 50% since the beginning of the year. 

Exane BNP Paribas has an “outperform” rating for LCID stock. If Lucid manages to stick to the production schedule, it could become a huge player in the competitive EV industry. With the company launching a new model, it does look like the production schedule is on time and Lucid might be able to win the trust of the investors. 

On the date of publication, Vandita Jadeja did not have (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 Publishing Guidelines.

Vandita Jadeja is a CPA and a freelance financial copywriter who loves to read and write about stocks. She believes in buying and holding for long term gains. Her knowledge of words and numbers helps her write clear stock analysis.

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