EV maker Lucid (LCID) is set to lose its spot in the Nasdaq 100 index at the end of the week as the company’s stock faces more pressure.
Lucid will be removed from the Nasdaq 100 stock index
The news comes as part of the Nasdaq 100’s annual changes, effective December 18, next week.
The index is a collection of the 100 largest non-financial companies on the Nasdaq stock exchange. Lucid is among six other companies being removed, including Enphase (ENPH) and eBay (EBAY).
Lucid joined the index in December 2021 with Lucid CFO Sherry House, calling it a “recognition of our progress.”
The addition came after Lucid went public in July and delivered its first Air electric car in October. Fast-forward two years, and the EV market has changed drastically.
Lucid’s deliveries are down from a peak of 1,932 in Q4 2022 to 1,456 this past quarter. Although the number is up slightly from Q2 (1,404), it’s still nearly 30% lower than last year.
Production is also down over 50% from its peak of 3,493 in Q4 2022. Lucid built just 1,550 vehicles in the third quarter.
Lucid cut its annual production target last quarter to just 8,000 – 8,500, down 50% from its higher-end target.
On top of lower deliveries, Lucid’s losses are piling up. The EV maker’s net loss reached $2.17 billion through the first nine months of the year. In Q3, Lucid lost around $433,000 on every EV it made.
Despite this, the startup believes it’s turning things around. House said the company has “made progress with the cost control program” introduced earlier this year. The company’s financial leader added Lucid has “identified further opportunities for 2024.”
Lucid revealed its first electric SUV last month, the Gravity, with 440 miles range, an upscale interior, and three-row seating. In October, it also began delivering its Tesla Model S rival, the high-performance Air Sapphire.
The Gravity will begin rolling out in late 2024 with starting prices below $80,000. Lucid has drastically lowered prices on its Air electric sedan to boost demand.
Lucid stock has slipped over 90% from its all-time high and 45% over the past 12 months as it faces stiff competition from Tesla and others. Following the Nasdaq 100 news, Lucid stock is down over 4% on Monday.
Electrek’s Take
Lucid is having a hard time finding its place in the premium EV segment. Tesla slashing prices all year has added pressure on the startup to follow.
After a series of promotions, the fourth quarter should give us a better idea of where Lucid stands. The EV maker had $5.45 billion in liquidity at the end of September, which “we expect to lead us to our next major milestone, Gravity production, and beyond, into 2025,” according to House.
Although price cuts could stimulate demand to help Lucid hit its annual goal, how much can Lucid afford on margins? We will see early next year during the company’s Q4 and FY 2023 earnings.
"stock" - Google News
December 12, 2023 at 12:24AM
https://ift.tt/EUG5ryg
Lucid (LCID) is getting booted from the Nasdaq 100 stock index - Electrek
"stock" - Google News
https://ift.tt/SQkgYWh
https://ift.tt/W7uo394
Bagikan Berita Ini
0 Response to "Lucid (LCID) is getting booted from the Nasdaq 100 stock index - Electrek"
Post a Comment