One might say that the last 12 months sent the shares of the luxury electric vehicle (EV) maker Lucid Motors (NASDAQ: LCID) to the pits. Throughout 2023, the company was forced to implement measures such as a $10,000 cashback program on new cars, got kicked off the Nasdaq 100 index, and, in early 2024, fell to all-time lows.
Not all has been doom and gloom for the company, however, particularly in the last few weeks. After continuously falling to ever-greater lows, the company entered into a meme-stock-like rally at the very end of January and surged as much as 27% in a single day.
A big reason behind the price spike was the announcement that the firm reached an extensive multi-year deal with a Saudi government-owned aluminum producer.
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Building from the partnership, Lucid received another boost as recently as Thursday, February 8, when a new attractive leasing scheme in the country was revealed.
Furthermore, the EV maker recently entered into an agreement with Saks, a luxury commerce platform, that will allow potential customers to get access to demonstrative driving runs of the Lucid Air model.
Finally, while the surge has, for the most part, so far proven to be a one-off deal – and indeed, Lucid is still below its January 1 prices – there are plenty of reasons why the company might skyrocket in the coming months.
Lucid expected to rise 46% in 12 months
Given that a decade ago, Elon Musk’s Tesla (NASDAQ: TSLA) – arguably the most recognizable name in the EV industry – found itself in a similar bind as Lucid in getting kicked off the Nasdaq 100 index, it probably isn’t surprising that analysts don’t foresee the company’s collapse despite the major decline.
Indeed, at least looking at the average price target given by the 8 experts analyzed by TipRanks, Lucid Motors is expected to grow significantly throughout 2024. In fact, the overall estimate for the company’s stock stands at $5.14 – a 46.44% upside from the press time price of $3.51.
Despite this flash of optimism, it is also important to note that the high estimate is currently at a mere $7 – a far cry from the $20 per share many investors are hoping for – while the low target would see Lucid fully turn into a penny stock at only $1.
Similarly, none of the 8 analysts believe Lucid is a buy. Instead, 7 are neutral, and one recommends selling the stock.
LCID price analysis
While Lucid’s most recent stock market performance has been decent with the company’s shares rising 6.36% in the last week and 3.85% to $3.51 in the last trading session on Thursday, February 8, the stock has, overall, been on a decisive decline.
In fact, the company is 15.42% in the red since January 1 and had as few as 10 green days out of the last 30. Finally, the company is a whopping 64.51% down on its all-time chart.
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