Lucid Group (NASDAQ:LCID) Shares Dip 4.8% – Is It Time to Sell?

On December 29, 2024, shares of Lucid Group, Inc. (NASDAQ: LCID) dropped by 4.8% during market trading. The stock reached a low of $3.11 before settling at approximately $3.14, compared to its prior closing price of $3.30. The trading volume for the day was around 34,454,155 shares, a significant decline of 19% from the average session volume of 42,427,309 shares.

Wall Street Analysts Forecast Future Growth

Analysts on Wall Street have shared their assessments regarding LCID shares. Cantor Fitzgerald maintained a “neutral” rating, setting a price target of $4.00 for Lucid Group in a report dated October 8. Cfra established a target price of $2.00 for the company in a report on October 17. Similarly, Robert W. Baird reiterated a “neutral” rating with a $3.00 target price in a note released on October 7. Needham & Company also confirmed a “hold” rating on November 8. In another update, Royal Bank of Canada lowered its price target for Lucid Group from $3.00 to $2.00, assigning a “sector perform” rating. Currently, one analyst rates the stock as a sell, seven maintain a hold rating, and one analyst suggests buying the stock, leading to an average rating of “Hold” with a price target consensus of $3.16 according to MarketBeat.com.

Lucid Group's Price Movement

The performance of Lucid Group shares can be analyzed through some key metrics: the company displays a 50-day moving average of $2.41 and a 200-day moving average of $3.00. The company has a market capitalization of $9.64 billion, a price-to-earnings ratio of -2.39, and a beta of 1.08, indicating its volatility compared to the market. It also has a quick ratio of 3.26, a current ratio of 3.71, and a debt-to-equity ratio of 0.77.

Insider Transactions at Lucid Group

Recently, notable transactions have occurred within Lucid Group. On October 30, Director Public Investment Fund acquired 374,717,927 shares, paying an average price of $2.59 per share. This transaction amounted to a total investment of approximately $970 million. Post-transaction, the director owns around 8,041,393 shares, valued at about $20.8 million, marking an increase of over 102% in their stake in the company. Insider ownership stands at 61.26% of the total shares.

Institutional Investors' Interest in Lucid Group

Several large institutional investors have made adjustments to their holdings in Lucid Group. Pine Valley Investments elevated its stake by 34.9% in the second quarter, increasing their total to 13,710 shares valued at $36,000. Principal Financial Group grew its holding by 6.0%, now owning 66,004 shares worth $172,000. Greenleaf Trust also raised its position by 22.0% in the third quarter, owning 25,487 shares valued at $90,000 after acquiring additional shares. Additionally, Amalgamated Bank and Xponance Inc. raised their holdings as well. Overall, hedge funds and institutional investors collectively own 75.17% of Lucid Group shares.

Company Overview: Lucid Group

Lucid Group, Inc. is a tech-focused firm that designs, engineers, manufactures, and sells electric vehicles (EVs), EV powertrains, and battery systems. Furthermore, they develop proprietary software specifically for Lucid vehicles. The company markets its vehicles directly to consumers through a retail network and online sales, including Lucid Financial Services.

stocks, Lucid, analysis