Lucid Group (NASDAQ:LCID) Shares Down 13.9% – Here’s Why

Lucid Group, Inc. (NASDAQ:LCID)’s stock price was down 13.9% on Wednesday . The stock traded as low as $6.18 and last traded at $6.70. Approximately 21,270,035 shares were traded during trading, an increase of 49% from the average daily volume of 14,260,113 shares. The stock had previously closed at $7.78.

Key Headlines Impacting Lucid Group

Here are the key news stories impacting Lucid Group this week:

• Positive Sentiment: Second-quarter revenue rose 56.2% year over year to approximately $405.3 million, supported by higher deliveries of the Gravity SUV. Lucid delivered 3,953 vehicles, up 19% from a year earlier. Lucid Sales Top Estimates. The Stock Is Down.
• Positive Sentiment: New CEO Silvio Napoli launched an operational reset targeting $1.4 billion in 2026 cash-flow improvements through operating-expense, capital-spending and inventory reductions. Management also said total liquidity of about $3 billion provides a runway well into 2027. Lucid Announces Operational Reset and Second Quarter 2026 Results
• Neutral Sentiment: Lucid identified robotaxis, its Saudi Arabian manufacturing facility and the midsize-vehicle program as strategic priorities. Robotaxi testing with Uber and Nuro has begun, while the Saudi facility is moving into industrialization; however, these initiatives remain execution-dependent. Lucid’s turnaround plan hinges on $1.4B in cash savings, robotaxis
• Negative Sentiment: The quarter showed severe financial strain: a roughly $300 million inventory charge contributed to a $3.30-per-share loss, while gross loss reached $426.7 million, operating loss $1.08 billion and net loss attributable to common shareholders $1.26 billion. Operating cash outflow was approximately $1.22 billion. Lucid Group Stock Falls on Q2 2026 Earnings
• Negative Sentiment: Lucid postponed the launch of its sub-$50,000 Cosmos crossover by nearly a year, to the second half of 2027, to address quality and production-process problems. The delay pushes back a key opportunity to expand beyond the luxury-EV market and increases investor concern about execution. Lucid Motors just delayed its affordable EV

Analysts Set New Price Targets

Several brokerages recently commented on LCID. Cantor Fitzgerald reiterated a “neutral” rating on shares of Lucid Group in a research note on Monday. Zacks Research cut Lucid Group from a “hold” rating to a “strong sell” rating in a research report on Monday, July 20th. Benchmark downgraded Lucid Group from a “buy” rating to a “hold” rating in a report on Wednesday, May 6th. TD Cowen decreased their target price on Lucid Group from $10.00 to $7.00 and set a “hold” rating for the company in a research report on Wednesday, May 6th. Finally, Evercore set a $6.00 price target on Lucid Group in a research note on Monday, May 11th. One equities research analyst has rated the stock with a Buy rating, seven have assigned a Hold rating and four have issued a Sell rating to the company’s stock. According to data from MarketBeat.com, Lucid Group has an average rating of “Reduce” and an average target price of $9.56.

Lucid Group Stock Down 13.9%

The company has a debt-to-equity ratio of 3.00, a current ratio of 1.02 and a quick ratio of 0.48. The firm’s 50 day moving average price is $6.11 and its two-hundred day moving average price is $7.94. The firm has a market cap of $2.61 billion, a price-to-earnings ratio of -0.51 and a beta of 0.83.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently modified their holdings of LCID. Jain Global LLC raised its stake in shares of Lucid Group by 13.3% during the fourth quarter. Jain Global LLC now owns 10,220 shares of the company’s stock worth $108,000 after purchasing an additional 1,200 shares during the last quarter. The Manufacturers Life Insurance Company grew its position in Lucid Group by 3.7% in the 4th quarter. The Manufacturers Life Insurance Company now owns 37,146 shares of the company’s stock valued at $393,000 after buying an additional 1,336 shares during the last quarter. Mercer Global Advisors Inc. ADV increased its stake in Lucid Group by 11.8% in the 4th quarter. Mercer Global Advisors Inc. ADV now owns 13,590 shares of the company’s stock valued at $144,000 after buying an additional 1,430 shares during the period. SBI Securities Co. Ltd. increased its stake in Lucid Group by 9.6% in the 4th quarter. SBI Securities Co. Ltd. now owns 17,970 shares of the company’s stock valued at $190,000 after buying an additional 1,569 shares during the period. Finally, Universal Beteiligungs und Servicegesellschaft mbH increased its stake in Lucid Group by 16.0% in the 4th quarter. Universal Beteiligungs und Servicegesellschaft mbH now owns 11,645 shares of the company’s stock valued at $123,000 after buying an additional 1,604 shares during the period. 75.17% of the stock is currently owned by hedge funds and other institutional investors.

Lucid Group Company Profile

Lucid Group, Inc is a California-based electric vehicle manufacturer specializing in the design, engineering and production of luxury electric sedans. Its flagship model, the Lucid Air, features a proprietary battery and powertrain architecture that emphasizes energy efficiency, extended driving range and high performance. In addition to passenger vehicles, Lucid offers charging solutions and software-enabled services aimed at optimizing the ownership experience and accelerating adoption of zero-emission transportation.

The company was founded in 2007 under the name Atieva, initially focusing on battery technology and electric powertrains for other automakers before transitioning to its own branded vehicles.