Lucid Group (LCID) Stock: Can New SUV Save the Struggling EV Maker?

TLDR

Table of Contents

Lucid delivered 3,109 vehicles in Q1 2025, marking a 58% increase and sixth consecutive quarter of record deliveries
The company’s new Gravity SUV targets a market six times larger than its Air sedan segment
CEO Peter Rawlinson stepped down after 12 years following a $400 million Q4 loss
Former Tesla customers are switching to Lucid as Tesla faces political backlash from Elon Musk’s activities
Analysts predict 73% sales growth in 2025 with the stock currently trading at $2.14

Lucid Group delivered 3,109 vehicles in the first quarter of 2025. The number represents a 58% jump from the same period last year.

The delivery figure marks the sixth straight quarter of record performance for the electric vehicle maker. This streak continues even as the company faces major leadership changes.

CEO Peter Rawlinson stepped down after leading Lucid for 12 years. The departure came after the company reported a nearly $400 million fourth-quarter loss.

Marc Winterhoff now serves as interim CEO. He noted a sharp increase in orders from former Tesla drivers in recent months.

Tesla has faced consumer pushback due to CEO Elon Musk’s political activities. Tesla’s first-quarter automotive sales dropped 20% year over year.

This creates an opening for Lucid in the luxury electric vehicle space. The timing appears fortunate for the company’s growth plans.

Market Opportunity Grows

The Gravity SUV launched in late 2024 and targets mainstream consumers. Industry analysts estimate the SUV market is six times larger than the sedan segment where Lucid’s Air model competes.

Lucid Gravity sets a new standard for what an SUV can be.
Power, precision, and versatility for whatever the road brings. Transition effortlessly from scenic roads to the unexpected adventures. pic.twitter.com/S2vUCWkRp3
— Lucid Motors (@LucidMotors) April 16, 2025

Wall Street expects strong performance ahead. Analysts predict Lucid’s sales will increase 73% in 2025.

They forecast another 96% jump in 2026 compared to prior years. The company has been building inventory for employees and test driving purposes.

Now Lucid can focus on accelerating production for regular customers. This production ramp could boost delivery numbers further.

The investment community expects an EPS of -$0.26 in the upcoming earnings release. This indicates a 10.34% improvement compared to the equivalent quarter last year.

Revenue projections show $292.12 million for the quarter. This reflects a 45.64% rise from the same period last year.

Financial Challenges Persist

Lucid burns through cash at a rapid pace. The company used $692 million in the first quarter alone.

This cash burn continues despite revenue growing 36% year over year to $235 million. The company relies heavily on outside funding sources.

Saudi Arabia’s Public Investment Fund owns roughly 60% of Lucid through multiple investments. While this provides access to capital, the dependency creates risks.

Should Saudi’s PIF reduce support, it would create problems for Lucid. The stock would face pressure and accessing alternative funding would become more expensive.

Lucid trades at a price-to-sales ratio of 6.7 based on expected 2025 revenue of $1.4 billion. Tesla carries a P/S ratio of 11 for comparison.

The stock price sits at $2.14 with a market cap of $6.77 billion. Shares have fallen 96% from their 2021 high of $58.

Lucid closed the most recent trading day at $2.14, moving down 1.38% from the previous session. Coming into the day, shares had lost 17.8% in the past month.

The company plans to launch a midsize platform with more affordable pricing around $50,000. This could expand Lucid’s market reach beyond luxury buyers.

For the entire fiscal year, analysts project earnings of -$0.91 per share and revenue of $1.35 billion. These figures represent changes of +27.2% and +67.3% respectively from the prior year.

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