Cantor Fitzgerald maintains Neutral rating on Lucid Group stock at $3 price target

Investing.com - Cantor Fitzgerald has reiterated its Neutral rating on Lucid Group Inc . (NASDAQ:LCID) with a price target of $3.00, according to a research note released Thursday. The stock currently trades at $2.05, near its 52-week low, with a market capitalization of $6.25 billion. According to InvestingPro analysis, the company has shown strong revenue growth of 40.67% over the last twelve months.

The investment firm is maintaining its current position on the electric vehicle manufacturer pending a model update. Cantor Fitzgerald analyst Andres Sheppard derived the $3 price target using a bottom-up 10-year discounted cash flow (DCF) analysis.

The DCF model incorporates an 11% weighted average cost of capital (WACC) and calculates terminal value using a 2% long-term growth rate. These financial metrics form the foundation of the firm’s current valuation of the luxury EV maker.

Cantor Fitzgerald identified several key risk factors affecting Lucid’s outlook, including the company’s high negative gross margins and challenges related to production scaling. Additional concerns center on Lucid’s capital requirements, potential impacts from tariffs, and possible removal of EV tax credits.

The firm also noted that a broader slowdown in electric vehicle demand represents another significant risk factor for Lucid Group as it attempts to gain market share in the competitive EV landscape.

In other recent news, Lucid Group, Inc. reported the production of 3,863 electric vehicles and delivery of 3,309 units in the second quarter of 2025. For the first half of the year, the company produced 6,075 vehicles and delivered 6,418 units. Lucid plans to release its full financial results for the second quarter on August 5, 2025. Meanwhile, Lucid has secured a multi-year agreement with Graphite One for U.S.-sourced natural graphite, enhancing its supply chain for critical battery materials. This strategic move is part of Lucid’s efforts to strengthen its U.S.-based supply chain. Additionally, Douglas Grimm has been appointed to Lucid’s board of directors, bringing significant experience from the automotive sector. On the analyst front, both Cantor Fitzgerald and Stifel have maintained their ratings on Lucid, with Cantor Fitzgerald keeping a neutral rating and Stifel reiterating a Hold rating. Stifel noted Lucid’s strong first-quarter performance but highlighted concerns over cash burn and potential capital needs.

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