Lucid Shares Tumbled 14% in Premarket Trading

Tiger Newspress2022-03-01

Luxury electric car maker Lucid Group on Monday revised down its production forecast for this year due to "extraordinary supply chain and logistics challenges," knocking its shares down 14%.

Electric vehicle startups like Rivian Automotive and Lordstown Motors, which have raised money in public listings, have fallen short of their own production targets.

In late October, Lucid started deliveries of its $169,000 Lucid Air premium electric sedans, which have an estimated driving range of 520 miles (835 km) per change, a longer range than rival Tesla.

The California-based startup delivered 125 cars to customers last year, falling short of its 2021 production target of 577 vehicles.

Lucid expects to produce 12,000 to 14,000 vehicles this year, down from its previous goal of 20,000, it said in a statement.

The company posted a net loss of $1.05 billion in the fourth quarter of 2021, more than triple its loss from a year earlier.

Lucid Group, in which Saudi Arabia's Public Investment Fund (PIF) hold a nearly 63% stake, on Monday announced plans to build a new manufacturing facility in the Kingdom of Saudi Arabia. Construction will start in the first half of this year, with a goal to manufacture up to 150,000 vehicles a year at its peak.

Lucid currently operates a factory in the U.S. state of Arizona, where it plans to boost capacity to 365,000 vehicles a year.

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

Comments

  • Jasminephyo
    2022-03-01
    Jasminephyo
    Ok
  • ZenInv
    2022-03-01
    ZenInv
    For the brave believers 
  • mster
    2022-03-01
    mster
    Luckily it went up 9% last night, helps too cushion some of its drop today. 
  • Bi Han
    2022-03-01
    Bi Han
    Ggwp to Lucid
  • clingling
    2022-03-01
    clingling
    Huh
  • ZEROHERO
    2022-03-01
    ZEROHERO
    Not easy to scale. Bet on the EV champ
Leave a comment
8