Lucid Group (NASDAQ:LCID) Shares Down 4.8% After Analyst Downgrade

Shares of Lucid Group, Inc. (NASDAQ:LCID) dropped 4.8% on Tuesday after Royal Bank Of Canada lowered their price target on the stock from $10.00 to $8.00. Royal Bank Of Canada currently has a sector perform rating on the stock. Lucid Group traded as low as $8.68 and last traded at $8.80. Approximately 32,057,761 shares changed hands during mid-day trading, an increase of 327% from the average daily volume of 7,511,360 shares. The stock had previously closed at $9.24.

Several other analysts also recently weighed in on LCID. Weiss Ratings restated a “sell (e+)” rating on shares of Lucid Group in a report on Friday, March 27th. Zacks Research upgraded shares of Lucid Group from a “strong sell” rating to a “hold” rating in a report on Thursday, March 5th. Benchmark reiterated a “buy” rating on shares of Lucid Group in a report on Thursday, February 19th. Cantor Fitzgerald reduced their target price on shares of Lucid Group from $21.00 to $14.00 and set a “neutral” rating for the company in a report on Wednesday, February 25th. Finally, Citigroup assumed coverage on shares of Lucid Group in a report on Wednesday, March 18th. They issued a “buy” rating and a $17.00 target price for the company. Two equities research analysts have rated the stock with a Buy rating, five have assigned a Hold rating and three have issued a Sell rating to the stock. According to data from MarketBeat, Lucid Group has an average rating of “Reduce” and a consensus target price of $12.86.

Lucid Group News Summary

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

• Positive Sentiment: Major new funding: Lucid disclosed roughly $750M of fresh capital (Ayar/PIF convertible preferred plus increased Uber commitments) that materially boosts near-term liquidity. Lucid to Receive New Investments from the PIF and Uber; Uber and Lucid Expand Robotaxi Partnership to at least 35,000 Vehicles
• Positive Sentiment: Expanded strategic deal with Uber: Uber increased its robotaxi commitment to at least 35,000 Lucid vehicles and is adding capital, strengthening a commercial path for fleet sales and recurring revenue. Lucid to Receive New Investments from the PIF and Uber; Uber and Lucid Expand Robotaxi Partnership to at least 35,000 Vehicles
• Positive Sentiment: Leadership change: Lucid named Silvio Napoli (industrial/operator background) as CEO, a sign the company is shifting toward operational execution and margin focus. Lucid names auto industry outsider as CEO, expands Uber deal
• Neutral Sentiment: Production/delivery update: Q1 output was 5,500 vehicles with 3,093 deliveries; management cited a temporary supply disruption — relevant for revenue/scale timelines but not new news. Lucid Group (LCID) Reports Q1 Deliveries Impacted by Temporary Supply Disruption
• Negative Sentiment: Dilution and financing overhang: Lucid priced a $300M underwritten public offering and disclosed private placements (including $550M convertible preferred to an Ayar/PIF affiliate and a $200M private placement from an Uber affiliate); the company also filed a new shelf registration — investors fear dilution and share overhang. Lucid shares fall on capital raise announcement, leadership update
• Negative Sentiment: Market reaction & sentiment: After an early surge on the funding/CEO news, selling emerged as traders focused on dilution, lower recent analyst targets and cash-burn/bankruptcy concerns that have pressured the stock over the past year. Lucid stock falls as new CEO, funding deals raise fresh concerns
• Negative Sentiment: Analyst/price-target pressure: Some brokers have trimmed targets or maintain cautious ratings amid execution and liquidity risks, adding to downside pressure. RBC Capital Adjusts Price Target on Lucid Group to $8 From $10

Hedge Funds Weigh In On Lucid Group

A number of large investors have recently added to or reduced their stakes in the company. J. Derek Lewis & Associates Inc. bought a new position in Lucid Group in the fourth quarter worth about $158,000. Corient Private Wealth LLC acquired a new position in shares of Lucid Group during the fourth quarter valued at about $118,000. Caitong International Asset Management Co. Ltd acquired a new position in shares of Lucid Group during the fourth quarter valued at about $77,000. Alpine Global Management LLC increased its holdings in shares of Lucid Group by 561.7% during the fourth quarter. Alpine Global Management LLC now owns 16,160 shares of the company’s stock valued at $171,000 after acquiring an additional 19,660 shares in the last quarter. Finally, Virtu Financial LLC acquired a new position in shares of Lucid Group during the fourth quarter valued at about $1,355,000. 75.17% of the stock is currently owned by institutional investors.

Lucid Group Trading Down 4.8%

The company has a debt-to-equity ratio of 3.00, a current ratio of 1.25 and a quick ratio of 0.83. The stock has a market cap of $2.88 billion, a price-to-earnings ratio of -0.73 and a beta of 1.16. The company’s fifty day moving average price is $9.94 and its 200-day moving average price is $13.15.

Lucid Group Company Profile

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.