Lucid Group (NASDAQ:LCID) Stock Falls 10.6% Following Analyst Downgrade

Key Points

• Lucid Group shares fell 10.6% to $3.13 after Morgan Stanley cut its price target from $5 to $3 and maintained an underweight rating.
• Analyst sentiment remains negative overall, with a consensus “Reduce” rating and an average price target of $8.67; ratings include one Buy, nine Holds, and three Sells.
• Lucid continues to report substantial losses: quarterly EPS of negative $2.78 missed estimates, despite revenue rising 56.2% year over year to $405.35 million. Institutional investors own approximately 75.17% of the company.

Lucid Group, Inc. (NASDAQ:LCID - Get Free Report) shares traded down 10.6% on Friday after Morgan Stanley lowered their price target on the stock from $5.00 to $3.00. Morgan Stanley currently has an underweight rating on the stock. Lucid Group traded as low as $3.11 and last traded at $3.13. Approximately 10,400,076 shares traded hands during trading, a decline of 22% from the average session volume of 13,326,178 shares. The stock had previously closed at $3.50.

Several other equities research analysts have also commented on LCID. William Blair lowered shares of Lucid Group to a "market perform" rating in a research note on Monday, August 3rd. Royal Bank Of Canada dropped their target price on shares of Lucid Group from $7.00 to $4.00 and set a "sector perform" rating on the stock in a research report on Monday. Weiss Ratings restated a "sell (e+)" rating on shares of Lucid Group in a research note on Monday, September 21st. UBS Group reaffirmed a "hold" rating on shares of Lucid Group in a report on Tuesday, October 6th. Finally, Citigroup decreased their price target on Lucid Group from $14.00 to $11.00 and set a "buy" rating for the company in a research report on Wednesday, August 19th. One investment analyst has rated the stock with a Buy rating, nine have assigned a Hold rating and three have assigned a Sell rating to the company. Based on data from MarketBeat.com, the stock has a consensus rating of "Reduce" and a consensus target price of $8.67.

Institutional Investors Weigh In On Lucid Group

Institutional investors have recently made changes to their positions in the stock. HBK Investments L P grew its position in shares of Lucid Group by 217.9% in the second quarter. HBK Investments L P now owns 33,070 shares of the company's stock valued at $221,000 after purchasing an additional 22,667 shares in the last quarter. Tidal Investments LLC lifted its holdings in Lucid Group by 34.6% during the 2nd quarter. Tidal Investments LLC now owns 32,446 shares of the company's stock worth $217,000 after purchasing an additional 8,347 shares in the last quarter. Engineers Gate Manager LP purchased a new stake in Lucid Group during the 2nd quarter worth about $694,000. Integrated Wealth Concepts LLC bought a new position in Lucid Group in the 2nd quarter worth about $129,000. Finally, IFP Advisors Inc boosted its stake in Lucid Group by 1,231.3% in the 2nd quarter. IFP Advisors Inc now owns 3,781 shares of the company's stock worth $25,000 after purchasing an additional 3,497 shares during the period. Hedge funds and other institutional investors own 75.17% of the company's stock.

Lucid Group Trading Down 10.6%

The firm has a market cap of $1.23 billion, a PE ratio of -0.23 and a beta of 1.00. The stock has a fifty day simple moving average of $4.70 and a two-hundred day simple moving average of $5.92.

Lucid Group (NASDAQ:LCID - Get Free Report) last announced its quarterly earnings results on Tuesday, August 4th. The company reported ($2.78) earnings per share (EPS) for the quarter, missing analysts' consensus estimates of ($2.36) by ($0.42). Lucid Group had a negative return on equity of 1,391.51% and a negative net margin of 249.21%. The firm had revenue of $405.35 million during the quarter, compared to analysts' expectations of $381.59 million. During the same period in the previous year, the company posted ($0.24) earnings per share. The company's quarterly revenue was up 56.2% compared to the same quarter last year. As a group, sell-side analysts predict that Lucid Group, Inc. will post -12.15 earnings per share for the current fiscal year.

Lucid Group Company Profile

Lucid Group, Inc is an electric vehicle company headquartered in Newark, California. Through its Lucid Motors subsidiary, the company designs, engineers and manufactures luxury electric vehicles, with a focus on long range, performance, efficiency and advanced in-vehicle technology.

Lucid's product lineup includes the Lucid Air, a premium electric sedan, and the Lucid Gravity, an electric SUV. The company also develops electric powertrain systems, battery technology and related vehicle software.

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