Cars and Drivers

Lucid Crash Continues

Courtesy of Lucid

Electric vehicle maker Lucid Group Inc. (NASDAQ: LCID) showed again why it would not be one of the winners in the crowded EV segment. Its quarterly figures were awful. (These are America’s best and worst new cars.)
[in-text-ad]
Lucid posted total sales of 1,404 of its sedans. It lost $764 million, compared to $555 million in the same quarter a year ago. Revenue moved to $151 million from $93 million a year ago. All the numbers disappointed investors. Lucid’s car sales were so poor that they might as well have been zero in the eyes of Wall Street.

Lucid says it will produce about 10,000 cars this year. Tesla made 480,000 in the most recent quarter. Every major car company globally will come to market with a line of EVs, most of which will launch in the next three years. Lucid will be overwhelmed. Among other problems, it only has one model line.

Lucid also cut car prices by as much as $14,200, a sign of slack demand. This follows a series of price cuts by Tesla to drive demand. According to Tesla’s earnings, and sales, it is working. It likely will start a long price war to increase sales and hurt margins. Lucid cannot afford that.


Lucid’s CEO and CTO, Peter Rawlinson, dared to paint his picture as a good one: “We look forward to exciting new products in the second half of this year, including the planned start of production of the Lucid Air Sapphire and the Lucid Air Pure Rear Wheel Drive, plus the highly anticipated unveiling of our new SUV, Lucid Gravity, forthcoming in November.”

Lucid’s shares are down over 70% in the past two years. Tesla’s are 6% higher.


Large car companies already have gambled that EVs are the future. Their total investment to be part of this future is in the tens of billions of dollars. Not all companies will be winners, but they will flood the market nevertheless. And each has huge product development, dealer network and marketing. Most have iron-clad balance sheets.

No matter how one views it, there is no room for Lucid.

ALERT: Take This Retirement Quiz Now  (Sponsored)

Take the quiz below to get matched with a financial advisor today.

Each advisor has been vetted by SmartAsset and is held to a fiduciary standard to act in your best interests.

Here’s how it works:
1. Answer SmartAsset advisor match quiz
2. Review your pre-screened matches at your leisure. Check out the advisors’ profiles.
3. Speak with advisors at no cost to you. Have an introductory call on the phone or introduction in person and choose whom to work with in the future

Take the retirement quiz right here.

Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.