Lucid Group Shares Fall Following Price Target Cut and Delivery Decline
Shares of Lucid Group, Inc. (LCID) fell more than 9% to $3.43 following a price target reduction from Wall Street. The downgrade came after the electric vehicle maker reported a 24% year-over-year drop in third-quarter production to 2,954 vehicles. Deliveries for the quarter also fell nearly 7% from 4,078 vehicles a year prior as the company adjusted production to lower inventory and match near-term demand.
An analyst cut the company's 2027 revenue forecast to $2.8 billion, pointing to weak sales of the Gravity model. Lower production levels are expected to weigh on gross margins due to reduced fixed-cost absorption. The analyst projects full-year 2026 deliveries at 15,600 vehicles, below broader market estimates of 17,100. Autonomous driving software offers potential long-term upside but is not expected to contribute significantly in the near term.
Investors will look ahead to November 9, when Lucid Group, Inc. reports its third-quarter financial results. Analysts expect a quarterly loss of $2.37 per share on revenue of $418.31 million. Additionally, the automaker is pursuing international growth, planning to open its first retail and service locations in France in early 2027.
Key points
- Lucid Group, Inc. shares declined over 9% to $3.43 following a price target reduction.
- Third-quarter vehicle production fell 24% year over year to 2,954 units, while deliveries dropped nearly 7%.
- An analyst reduced the 2027 revenue outlook to $2.8 billion citing disappointing Gravity model sales.
- The company plans to launch its first retail and service locations in France in the first quarter of 2027.
- Lucid Group, Inc. is scheduled to release third-quarter financial results on November 9.
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Why did Lucid Group stock drop?
Lucid Group stock fell after an analyst cut its price target, citing reduced 2027 revenue expectations and weak third-quarter vehicle delivery and production numbers.
How many vehicles did Lucid produce in the third quarter of 2026?
Lucid produced 2,954 vehicles in the third quarter of 2026, marking a 24% decline compared to the same period in the previous year.
When will Lucid report its next earnings?
Lucid is set to report its third-quarter financial results on November 9, with analysts anticipating a loss of $2.37 per share.