Electric Vehicle Boom: Lucid Group Shares Soar
The electric vehicle (EV) market is on fire, and Lucid Group (NASDAQ: LCID) is reaping the benefits. The company’s shares surged over 10% in morning trading after announcing its fourth-quarter EV delivery results, with the stock still up 4% as of 11:35 a.m. ET. This marks a staggering 60% increase in Lucid shares over the past month.
Record-Breaking Production and Deliveries
Lucid produced a record 3,386 vehicles and delivered 3,099 vehicles in the fourth quarter, with full-year production reaching just over 9,000 vehicles and deliveries totaling 10,241 EVs. This trend of deliveries outpacing production is also seen in fellow EV start-ups like Rivian Automotive and industry leader Tesla.
Financial Results on the Horizon
The decrease in inventory levels bodes well for Lucid’s upcoming fourth-quarter and full-year financial results, which are set to be reported on February 25. With higher sales helping to cover fixed costs, investors can expect some improvement in the company’s financials.
A Year of Growth
Lucid’s delivery results for the year represent a 71% increase compared to 2023, while production levels saw a more modest 7% increase. Despite this, the company still has a way to go before becoming profitable at current production levels.
The Gravity SUV: A Game-Changer?
Investors are eagerly awaiting news on orders for Lucid’s new Gravity SUV, which is set to begin production on one model before the end of 2024, with a second model trim following later this year. The Gravity marks a significant expansion of Lucid’s product line beyond luxury electric sedans.
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