With electrical automobile (EV) stocks obtaining hammered on Friday, Lucid stock price prediction (LCID -4.15%) could not run away the marketplace’s wrath either– shares of the EV startup were trading down 5.8% since 1:30 p.m. ET.
Lucid revealed some growth strategies, but the market was paying better interest to a competitor’s just-released profits report and a few of the important things it said.
Previously in March, Lucid announced it’ll produce just 12,000 to 14,000 vehicles in 2022 versus its previous estimate of 20,000 devices, provided the supply chain and also logistics difficulties. Today, at the very least 2 automakers verified that the supply issues aren’t going away anytime soon.
A worried individual in a mask studying a falling stock cost chart on a computer screen.
China-based Nio, which is likewise targeting the high-end EV market like Lucid, simply revealed weak support for shipments in the very first quarter because of supply chain difficulties and various other headwinds. Nio also really did not eliminate the possibility of cost increases in the near future if prices remain to increase. This echoes Lucid’s belief– barely days ago, Lucid cited inflationary pressure and claimed it’s exploring boosting prices of its EVs in the near future, according to Reuters.
On the other hand, heritage car manufacturer General Motors is shutting down a factory in Indiana for 2 weeks since it’s running out of semiconductor chips.
These updates seem to have actually made financiers in Lucid concerned about whether the firm will certainly even be able to produce as much as 14,000 cars offered the continuous crisis in the supply of resources that can worsen if the Russia-Ukraine problem intensifies.
For now, Lucid is concentrated on growth. Adhering to Tesla’s playbook, Lucid is targeting direct sales to end consumers via studios in prime retail places as well as will open its second display room in Canada in March. The workshop is located in Canada’s premier shopping mall, Yorkdale, in Toronto.
Notably, Lucid confirmed it will start shipments in Canada this spring, its initial market outside the united state Lucid has also developed an engaging deal to lure clients in Canada– those who book a Lucid Air by June 30 will get two years of free of charge billing throughout Electrify Canada’s public EV billing network thanks to Lucid’s tie-up with the firm. Electrify Canada currently has 30 terminals with 120 battery chargers and is targeting greater than 100 terminals by 2026.
Lucid Team, Inc
Today’s Change (-4.15%) -$ 1.09.
On the other hand, while Lucid is still trying to build a consumer base in The United States and Canada, rivals Tesla and Nio are already expanding rapidly into Europe. With Tesla additionally opening up a Gigafactory in Berlin this week, Lucid will have to work tougher to grow while maintaining a look at prices. Financiers aren’t sure if that’s feasible now, and also their concerns are shown in Lucid stock’s loss today.