Though not the only stock to rally on what was expected to be Black Monday 2025, Lucid (NASDAQ: LCID) stock’s climb in yesterday’s session is particularly noteworthy.
Specifically, after gaining a bad reputation for spending years on the decline, LCID shares rallied 7.46% in a single day and are changing hands at $2.46 – the highest they’ve been since February.
Additionally, Lucid stock managed to continuously rise in the last 30 days despite prevailing market headwinds and is up 18.03% within the time frame, though it remains noteworthy that LCID’ share price is, despite the recent positivity, nearly 19% below its price on January 2, the first session of the year.
The reasons behind the surprisingly strong performance of the electric vehicle (EV) maker appear to be fourfold.
Why LCID stock is soaring
After years of disappointment, Lucid revealed at the start of April that it set a new company record in terms of vehicles delivered in the first quarter (Q1) of 2025, shipping 3,109 cars during the three months. The result amounts to a 58% jump compared to the same period in the previous year.
Interestingly – and perhaps most impactfully – the strong result came as Lucid’s competitors, including Rivian (NASDAQ: RIVN) and Tesla (NASDAQ: TSLA), have sharply declined.
Tesla’s fortunes could be particularly important as the EV maker has been suffering a major fall from grace, largely due to Elon Musk’s political activities, leaving a relatively large vacuum in the market.
Lucid’s position has long been noted by one of the world’s most deep-pocketed institutional investors, the Saudi Public Investment Fund (PIF), but recent 13-f filings reveal that other major financial entities have become increasingly confident in Lucid.
Raymond James, Charles Schwab, The Manufacturers Life Insurance Company, ExodusPoint Capital Management, and Rockefeller Capital Management are just some of the names that have either made brand-new investments in LCID or increased their stakes in recent quarters.
Did the rising tide lift Lucid stock’s boat?
Lastly, and specifically regarding the Monday rally, it is possible that Lucid shares were more driven by the wider market than benefitted from the developments pertaining to the company itself.
Despite the grim portents ahead of the morning bell, the combined fake news that President Trump is considering a tariff pause and the allegations many world leaders are keen to negotiate have limited the overall drop and ensured a hefty handful of stocks rallied more than 5% on what was supposed to be Black Monday 2025.
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