Electric vehicle company Lucid Group (NASDAQ: LCID) may have a hit on its hands with the Lucid Gravity SUV based on comments from the company about demand and ramped-up production.
What Happened: Lucid released the Gravity SUV in late 2024, and increased production and incentives could be boosting demand for the electric vehicle company.
Lucid told Electrek via email that reports of low demand for the Gravity SUV were “completely inaccurate." The company said Lucid has delivered SUVs that total "into the 3-digit range."
Lucid interim CEO Marc Winterhoff said the company is seeing strong demand and plans to give customers the $7,500 federal EV tax credit on any Gravity sales that happen even after the September deadline.
"Because we have so many orders and we don't want to tell order holders, you know what, you're out of luck, we didn't deliver in time," Winterhoff said during an interview with Brew Markets.
The company plans to honor the tax credit through the end of the year.
Read Also: Lucid Vs. Tesla – CEO Says Company’s Technology Is ‘A Number Of Years Ahead’ Of EV Leader
Why It's Important: Winterhoff's comments on demand could be good news for investors and the extension of the tax credit could help with delivery figures in the second half of the fiscal year.
During the interview, Winterhoff also hit on competition, saying that luxury brands like Audi, BMW and Mercedes are viewed more as primary competition for Lucid, while Tesla isn't as much of a direct competitor.
"We see ourselves a little bit of a notch higher than Tesla," Winterhoff said.
While Lucid is currently priced in the luxury range with many of its vehicles, the company plans to launch a midsize EV in late 2026, which is expected to be priced under $50,000 and serve as a competitor to Tesla.
Another report from Electrek shows Lucid has been ramping up its Gravity production based on drone flyovers of the company's Arizona factory.
Electrek reports hundreds, if not more than a thousand Gravity SUVs at the factory.
Lucid reported 3,309 deliveries and 3,863 vehicles produced in the second quarter. This marked the sixth consecutive quarter of record deliveries for the company. The company guided for 18,000 to 20,000 vehicles to be produced in 2025.
The launch of the Gravity is a key catalyst for Lucid and demand in the third and fourth quarter could be the most significant catalyst for the stock, with shares currently down 24% year-to-date in 2025.
LCID Price Action: Lucid stock is up 0.5% TO $23.09 on Thursday, versus a 52-week trading range of $15.25 to $37.30.
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