Lucid Group (NASDAQ:LCID) Shares Down 5.8% - Should You Sell?

Key Points

• Lucid shares fell 5.8% to $11.81 in mid‑day trading and are trading below their 50‑ and 200‑day moving averages on below‑average volume.
• Brokerages have turned cautious — Weiss reissued a sell and Morgan Stanley downgraded Lucid to underweight (cutting its target to $10); the consensus rating is Reduce with an average price target of $21.54.
• Lucid missed quarterly estimates (EPS of -$2.65 vs. -$2.32 and revenue $336.6M vs. $378.4M) despite 68% year‑over‑year revenue growth and remains unprofitable with negative net margin and ROE.

Lucid Group, Inc. (NASDAQ:LCID - Get Free Report)'s stock price fell 5.8% during mid-day trading on Monday . The company traded as low as $11.80 and last traded at $11.81. 7,512,192 shares were traded during trading, a decline of 32% from the average session volume of 11,065,294 shares. The stock had previously closed at $12.54.

Analyst Ratings Changes

Several brokerages recently issued reports on LCID. Weiss Ratings reissued a "sell (e+)" rating on shares of Lucid Group in a research note on Monday, December 8th. Cantor Fitzgerald restated an "overweight" rating on shares of Lucid Group in a report on Wednesday, November 19th. Stifel Nicolaus reduced their price target on Lucid Group from $21.00 to $17.00 and set a "hold" rating on the stock in a report on Monday, November 17th. Finally, Morgan Stanley downgraded Lucid Group from a "buy" rating to an "underweight" rating and reduced their price objective for the stock from $30.00 to $10.00 in a report on Monday, December 8th. Two research analysts have rated the stock with a Buy rating, five have given a Hold rating and four have assigned a Sell rating to the company. According to data from MarketBeat, the company currently has an average rating of "Reduce" and a consensus price target of $21.54.

Lucid Group Stock Performance

The company has a debt-to-equity ratio of 1.19, a quick ratio of 1.34 and a current ratio of 1.81. The firm's 50 day moving average price is $16.51 and its 200-day moving average price is $20.46. The firm has a market capitalization of $3.83 billion, a PE ratio of -1.10 and a beta of 0.87.

Lucid Group (NASDAQ:LCID - Get Free Report) last posted its quarterly earnings data on Wednesday, November 5th. The company reported ($2.65) earnings per share (EPS) for the quarter, missing the consensus estimate of ($2.32) by ($0.33). Lucid Group had a negative return on equity of 85.13% and a negative net margin of 224.99%.The firm had revenue of $336.58 million during the quarter, compared to analyst estimates of $378.44 million. During the same quarter in the previous year, the firm posted ($2.76) earnings per share. The company's quarterly revenue was up 68.3% on a year-over-year basis. On average, research analysts expect that Lucid Group, Inc. will post -1.25 EPS for the current year.

Institutional Trading of Lucid Group

Institutional investors have recently added to or reduced their stakes in the stock. HITE Hedge Asset Management LLC acquired a new position in shares of Lucid Group during the third quarter worth about $212,000. Johnson & White Wealth Management LLC acquired a new position in shares of Lucid Group during the 3rd quarter worth $238,000. Integrity Alliance LLC. purchased a new stake in shares of Lucid Group in the first quarter valued at about $27,000. Sapient Capital LLC purchased a new stake in Lucid Group in the 3rd quarter valued at approximately $287,000. Finally, Valeo Financial Advisors LLC boosted its stake in shares of Lucid Group by 9.7% during the second quarter. Valeo Financial Advisors LLC now owns 11,926 shares of the company's stock valued at $25,000 after acquiring an additional 1,055 shares during the last quarter. Institutional investors and hedge funds own 75.17% of the company's stock.

About Lucid Group

Lucid Group, Inc a technology company, designs, engineers, manufactures, and sells electric vehicles (EV), EV powertrains, and battery systems. It also designs and develops proprietary software in-house for Lucid vehicles. The company sells vehicles directly to consumers through its retail sales network and direct online sales, including Lucid Financial Services.

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