With electrical vehicle (EV) stocks getting hammered on Friday, Lucid stock price today (LCID -4.15%) could not leave the market’s rage either– shares of the EV startup were trading down 5.8% since 1:30 p.m. ET.
Lucid introduced some growth strategies, yet the marketplace was paying greater focus to a rival’s just-released profits report and a few of things it said.
Previously in March, Lucid revealed it’ll create only 12,000 to 14,000 automobiles in 2022 versus its previous projection of 20,000 devices, given the supply chain and logistics obstacles. Today, a minimum of two automakers verified that the supply problems aren’t vanishing anytime soon.
A worried individual in a mask examining a falling stock price chart on a computer system screen.
China-based Nio, which is additionally targeting the high-end EV market like Lucid, simply revealed weak guidance for distributions in the first quarter as a result of supply chain challenges as well as other headwinds. Nio also really did not eliminate the opportunity of price increases in the future if costs continue to increase. This echoes Lucid’s view– barely days ago, Lucid pointed out inflationary pressure as well as stated it’s considering enhancing rates of its EVs in the future, according to Reuters.
At the same time, legacy car manufacturer General Motors is shutting down a manufacturing facility in Indiana for two weeks due to the fact that it’s lacking semiconductor chips.
These updates appear to have actually made capitalists in Lucid concerned about whether the business will certainly even have the ability to generate as much as 14,000 vehicles given the ongoing crisis in the supply of basic material that might aggravate if the Russia-Ukraine problem intensifies.
In the meantime, Lucid is concentrated on growth. Complying with Tesla’s playbook, Lucid is targeting straight sales to finish customers with studios in prime retail places as well as will open its second showroom in Canada in March. The workshop lies in Canada’s premier shopping center, Yorkdale, in Toronto.
Importantly, Lucid verified it will certainly begin distributions in Canada this spring, its first market outside the united state Lucid has additionally developed a compelling deal to lure customers in Canada– those who book a Lucid Air by June 30 will certainly get two years of free charging throughout Electrify Canada’s public EV charging network thanks to Lucid’s tie-up with the firm. Electrify Canada currently has 30 terminals with 120 battery chargers and also is targeting greater than 100 terminals by 2026.
Lucid Team, Inc
Today’s Change (-4.15%) -$ 1.09.
On the flip side, while Lucid is still attempting to build a client base in The United States and Canada, rivals Tesla and also Nio are already increasing rapidly right into Europe. With Tesla additionally opening up a Gigafactory in Berlin today, Lucid will need to work harder to grow while keeping a look at costs. Investors aren’t certain if that’s feasible today, and also their concerns are reflected in Lucid stock’s autumn today.