Lucid Group (NASDAQ: LCID) – Company Overview
Lucid is an American electric vehicle (EV) company founded with the goal of producing high-performance premium EVs. Its flagship model, the Lucid Air, has drawn attention as a competitor to the Tesla Model S, offering an industry-leading range of up to 837 km on a single charge.
Key Information
- Founded: 2007 (originally known as Atieva)
- Exchange: NASDAQ (Ticker: LCID)
- Headquarters: Newark, California, USA
- Employees: Approximately 7,200 (as of 2024)
- CEO: Marc Winterhoff (appointed interim CEO in 2025)
Main Products
- Lucid Air: Premium electric sedan, up to 837 km range, 1,111 horsepower Dream Edition
- Lucid Gravity: Premium electric SUV (mass production scheduled for late 2024)
Technological Strengths
- 900V electrical architecture enabling ultra-fast charging
- Compact high-efficiency motors delivering up to 670 horsepower
- Aerodynamic design (Cd 0.21) with optimized thermal management
Notable Aspects
- Public Investment Fund (PIF) of Saudi Arabia holds around 60% stake
- Manufacturing plant established in KAEC, Saudi Arabia
- Strategic shift toward profitability under new leadership starting in 2025
Lucid Group – Key Financial Metrics (2022~2024)
Lucid is positioned as a premium EV manufacturer. From 2022 to 2024, the company reported steady revenue growth; however, it has yet to overcome its structural losses. Below is a summary of its core financial metrics for the past three years.
| Metric | 2022 | 2023 | 2024 |
|---|---|---|---|
| Revenue (in million USD) | 608.18 | 595.27 | 807.83 |
| EBITDA | -2,407.41 | -2,826.21 | -2,705.18 |
| EBIT | -2,593.99 | -3,059.74 | -3,000.52 |
| Net Income | -2,558.68 | -2,828.42 | -3,061.55 |
| Operating Cash Flow | -2,226.26 | -2,489.75 | -2,019.67 |
| PER | – | – | – |
| PBR | 1.56 | 1.45 | 1.96 |
| ROA | -16.55% | -34.51% | -29.89% |
Source: Naver Finance | As of December 31, 2024
Lucid Group – Comprehensive Financial Assessment (2022–2024)
The following table summarizes the key investment-related financial indicators for Lucid Group over the past three years.
| Evaluation Category | Details | Investment Insight |
|---|---|---|
| Revenue Growth | Revenue reached approx. $800M in 2024, up from the previous year | Some level of recovery; limited demand exists |
| Profitability | Three consecutive years of multi-billion dollar net losses | High losses relative to revenue; weak monetization structure |
| Operating Cash Flow | Negative for three consecutive years (approx. -$2B in 2024) | Heavily reliant on external capital; insufficient internal cash generation |
| Asset Efficiency (ROA) | -29.89% in 2024 | Assets are not being converted into profit effectively |
| Market Valuation | No PER (due to continuous losses), PBR: 1.96 | Valuation is questionable; potentially overvalued despite no earnings |
Lucid (LCID) – Not Recommended for Investment
Based on Lucid’s recent financial statements and performance, this company does not meet my investment standards and is one I would never invest in.
1. Ongoing Operating Losses and Inefficient Production
Despite increasing revenue, Lucid’s operating losses continue to grow.
This is not merely a result of weak demand but due to an inefficient production system and high fixed cost structure.
Even with increased sales, it remains a “lose more by selling more” model that is difficult to reverse.
2. Delisting Risk
The current share price hovers around $1–2, dangerously close to the NASDAQ’s delisting threshold (under $1 for 30 consecutive trading days).
If the stock does not recover soon, continued listing may be in jeopardy.
3. Lack of Competitiveness in a Saturated EV Market
The EV market continues to grow rapidly, but competition is becoming increasingly fierce.
With dominant players like Tesla, BYD, Hyundai, and Volkswagen leading the industry,
Lucid falls behind in terms of production capacity, distribution, and financial strength.
4. Limitations of the Luxury EV Strategy
While Lucid is attempting to differentiate with high-end sedans and SUVs,
established luxury brands like Porsche, Mercedes-Benz, and BMW have already entered the EV market.
Lucid lacks the brand power and distribution network to compete effectively.
5. Saudi Government Support – The Only Lifeline
Lucid currently survives primarily due to financial support from Saudi Arabia’s Public Investment Fund (PIF),
which sees Lucid as part of its national EV branding strategy.
Although this allows Lucid to remain listed despite poor performance, its core business model remains unviable.
6. If You Still Want to Invest?
Speculative investors may find Lucid appealing due to its low share price and potential for explosive returns if it rebounds.
They may also believe that Saudi backing makes it unlikely to collapse easily.
However, from my value investing perspective, none of the company’s features justify an investment. I consider Lucid a stock to avoid.
Final Thoughts (Author’s Note)
This article may appear brief, but that is intentional.
I see no reason to write extensively about a stock I would never buy,
and I’ve tried to focus on key facts and logical reasoning.
Lucid does have some merits,
but I believe those strengths are overshadowed by critical weaknesses,
and therefore I cannot recommend this company from a value investor’s standpoint.
If you have a different viewpoint or insights that challenge my conclusion,
I would be more than happy to hear your thoughts.
Feel free to email me:
👉 shelling1445@gmail.com
This article was written after over an hour of thorough analysis of Lucid,
including review of financial data, industry positioning, and valuation.
Rather than listing everything I found,
I’ve condensed the most relevant insights for readers, omitting unnecessary elaboration.
Disclaimer: ※ This content is for informational purposes only and should not be considered investment advice. Investment decisions are the sole responsibility of the investor.
