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Lucid Group's (LCID) biggest headline this year is its blockbuster robotaxi deal with Uber Technologies (UBER) and Nuro. The announcement sent shares soaring on July 17, and brought renewed attention to Lucid’s positioning in the autonomous ride-hailing space.
Benchmark analyst Mickey Legg described the move as a “clear strategic win." The analyst also raised his price target to an ambitious $7.
Yet, skeptics caution that Uber or Nuro will own and operate the fleet, which limits Lucid’s ability to generate recurring revenue from autonomous services. There are also concerns about execution risk, as Lucid must ramp deliveries sharply to hit its annual target of 20,000 units.
Will Lucid be able to navigate these headwinds and hit that ambitious $7 mark? Or is the price target an idealistic stretch that depends on perfection across multiple fronts?
About Lucid Stock
Lucid is a U.S. electric vehicle (EV) and technology company headquartered in Newark, California. The company, which began delivering luxury EVs in late 2021 and entered the robotaxi space with its Gravity SUV, has a market capitalization of $8.6 billion, placing it among the mid-tier publicly traded automakers.
Over the past year, Lucid stock has experienced notable volatility. It began 2025 on a negative note amid concerns over production and delivery. However, the launch of the robotaxi partnership with Uber and Nuro has marked a major inflection point, with LCID stock surging 36% on July 17, its strongest one-day move in over two years.
Looking at recent trends, the stock climbed from around $2.30 in mid-July to well above $3 before settling back into the high $2/low $3 range. Over the past month, LCID stock has gained 43%. On a year-to-date (YTD) basis, shares are up just 3.6%.
While Lucid seems to be gaining momentum lately, its sky-high valuation raises eyebrows. Priced at 11.48 times sales, LCID stock trades higher than many industry peers.
Lucid’s Bottom Line Is Still in the Red
Lucid released its first-quarter 2025 earnings report on May 6, revealing a 36% year-over-year (YOY) rise in quarterly revenue to $235 million, supported by a record 3,109 vehicle deliveries, a 58% increase from a year ago. The company produced 2,212 units during the quarter and exited with about $5.76 billion in total liquidity.
Operationally, Lucid achieved progress, with gross margin improving to -97%, up substantially from -134% in Q1 2024. However, the company remained unprofitable, reporting a non-GAAP net loss of $0.20 per share, compared to a $0.27 loss in the prior-year quarter. Adjusted EBITDA losses narrowed only modestly to $563.5 million.
Lucid reaffirmed its full-year 2025 production guidance of approximately 20,000 vehicles, with capital expenditures projected at about $1.4 billion.
Analysts expect the company’s loss per share to improve 26% YOY to $0.92 in fiscal 2025, then narrow another 29% to a $0.65 per-share loss in fiscal 2026.
What Do Analysts Expect for Lucid Stock?
Benchmark raised LCID stock's price target to $7 from $5, maintaining a “Buy” rating after Lucid unveiled the strategic partnership with Uber and Nuro. Under the deal, Lucid will deliver 20,000 Gravity SUVs equipped with Nuro’s autonomous driving tech over six years, with the initial vehicles expected to launch in 2026. Uber’s subsidiary, SMB Holding, will invest $300 million through a private placement priced at the 30-day volume‑weighted average, with an 18-month lock-up, closing in Q3 2025.
However, not everyone is on board with LCID. Some analysts adopt caution, maintaining “Neutral” or “Hold” ratings with more conservative targets. Cantor Fitzgerald, for instance, has a “Neutral” rating with a $3 price target. While it acknowledged Lucid’s technological edge and strong liquidity, the firm cited concerns over ongoing high negative margins and potential capital needs if expansion stalls. Stifel also has a “Hold” rating on Lucid stock with a $3 price target.
LCID stock has a consensus “Hold” rating overall. Of the 13 analysts covering shares, two advise a “Strong Buy,” nine suggest a “Hold,” one analyst gives the stock a “Moderate Sell” rating, and one rates LCID as a “Strong Sell.”
Lucid now trades above its average price target of $2.86. However, Benchmark’s Street-high target of $7 signals that shares could rise as much as 124% from current levels.
