Lucid Group Inc (NASDAQ:LCID) shares are trading lower Wednesday morning, extending a volatile sell-off that recently drove the EV maker to fresh all-time lows. Here’s what investors need to know.
- LCID shares are sliding on disappointing news. Get the complete analysis here.
What To Know: The decline reflects deepened investor caution following a disappointing earnings report, executive turnover and concerns regarding shareholder dilution.
Sentiment remains heavy after Lucid's third-quarter results, reported earlier this month, missed expectations. The company posted an adjusted loss of $2.65 per share, wider than the $2.27 consensus estimate, on revenue of $336.6 million, which also fell short of forecasts.
While Lucid delivered 4,078 vehicles in the third-quarter, the lack of an updated 2025 production forecast has left Wall Street wary.
Adding to the pressure, Lucid announced an $875 million convertible senior note offering due 2031. Although intended to retire near-term debt, the move triggered fears of equity dilution.
Compounding these challenges is the departure of Eric Bach, Senior VP of Product and Chief Engineer, signaling internal reorganization.
Reacting to these headwinds, Stifel analyst Stephen Gengaro maintained a Hold rating but slashed his price target from $21 to $17.
Benzinga Edge Rankings: Reinforcing this negative outlook, Benzinga Edge data currently assigns Lucid a Momentum score of just 6.81, with price trend indicators flashing bearish signals across short, medium and long-term horizons.
LCID Price Action: Lucid Group shares were down 3.93% at $12.45 at the time of publication on Wednesday. The stock is trading near its 52-week low of $12.37, according to Benzinga Pro data.
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How To Buy LCID Stock
By now you're likely curious about how to participate in the market for Lucid – be it to purchase shares, or even attempt to bet against the company.
Buying shares is typically done through a brokerage account. You can find a list of possible trading platforms here. Many will allow you to buy “fractional shares,” which allows you to own portions of stock without buying an entire share.
In the case of Lucid, which is trading at $12.56 as of publishing time, $100 would buy you 7.96 shares of stock.
If you're looking to bet against a company, the process is more complex. You'll need access to an options trading platform, or a broker who will allow you to “go short” a share of stock by lending you the shares to sell. The process of shorting a stock can be found at this resource. Otherwise, if your broker allows you to trade options, you can either buy a put option, or sell a call option at a strike price above where shares are currently trading – either way it allows you to profit off of the share price decline.
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