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On Wednesday, Stifel analysts maintained a Hold rating and a $3.00 price target for Lucid Group Inc . (NASDAQ:LCID) shares, following the company’s first-quarter financial results for 2025. Lucid Group reported an adjusted EBITDA loss of $263.5 million, aligning with Stifel’s projections. According to InvestingPro data, the company’s trailing twelve-month EBITDA loss stands at $2.7 billion, with a market capitalization of $7.07 billion. The company saw an improvement in its cash burn, reducing it to $589.5 million compared to $824.8 million in the fourth quarter of 2024, despite flat revenues. This reduction was attributed to solid execution and an increase in regulatory credit sales, which rose to $31.5 million from $29.1 million in the entire previous year. InvestingPro analysis highlights that while Lucid is quickly burning through cash, it maintains a strong liquidity position with a current ratio of 4.18, meaning its liquid assets significantly exceed short-term obligations.
The electric vehicle manufacturer also experienced a sequential decrease in operating expenses during the first quarter of 2025. However, Lucid’s management anticipates that operating expenses will rise throughout the year, partly due to higher marketing expenditures. Despite these anticipated increases, the company confirmed its production target of 20,000 units for the year, offering insights into its delivery expectations.
Lucid also shared its outlook on external factors, noting that it expects limited impacts from tariffs. In terms of liquidity, the company is confident that its current financial position will be sufficient to support operations into the second half of 2026. This projection is in line with the planned launch of Lucid’s high-volume mid-size platform, which is expected to arrive in late 2026 and is reportedly on schedule. InvestingPro data reveals that despite current challenges, analysts anticipate 87% sales growth in 2025. Get access to 8 additional ProTips and comprehensive financial analysis with an InvestingPro subscription, including the detailed Pro Research Report available for over 1,400 US stocks.
Stifel’s analysis suggests that the first-quarter results and Lucid’s commentary provide a slightly positive outlook for the company’s stock. The firm’s reiteration of the Hold rating and price target reflects a cautious but stable perspective on Lucid’s financial standing and future prospects.
In other recent news, Lucid Group Inc. reported its first-quarter 2025 financial results, showcasing a mixed performance. The company posted an earnings per share (EPS) of -$0.20, which was better than the forecasted -$0.23, but its revenue of $235 million fell short of the expected $246.01 million. Lucid delivered 3,109 vehicles in the quarter, marking a 58% year-over-year increase, though this did not meet initial expectations. The company ended the quarter with $4.56 billion in cash and investments.
Analyst firms have weighed in on Lucid’s performance, with Needham maintaining a Hold rating, highlighting the potential of the new Gravity SUV to drive growth. Cantor Fitzgerald held a Neutral stance with a $3 price target, adjusting delivery and revenue forecasts for fiscal years 2025 and 2026. BofA Securities reiterated an Underperform rating with a $1 price target, noting that Lucid’s revenue missed both their and consensus estimates.
Lucid’s strategic initiatives and ongoing challenges were discussed, including concerns about liquidity and the impact of tariffs on profitability. The company is also focusing on launching the Gravity SUV and preparing for a mid-sized platform by late 2026. Despite the revenue shortfall, Lucid’s stock experienced a slight uptick in aftermarket trading, reflecting investor optimism about its strategic initiatives and future growth potential.
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