Lucid Earnings Crush; Lucid Stock Rises Late As Tesla Rival Backs Key EV Target, Hikes Prices

Lucid (LCID) affirmed its EV production target after the aspiring Tesla (TSLA) challenger crushed earnings estimates for the first quarter. Lucid stock rose in afterhours trading.




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Lucid joined EV startups Fisker (FSR) and Nikola (NKLA) in reaffirming key production targets amid the global chip shortage. But Lucid said Thursday it will hike prices effective June 1 while “honoring current pricing for all existing reservation holders.”


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Lucid Earnings

Estimates: Analysts polled by FactSet expected Lucid to lose 31 cents per share on revenue of $55.6 million. There are no year-ago figures.

Results: Lucid lost 5 cents a share on revenue of $57.7 million.

Outlook: Analysts expect Lucid to sharply narrow net loss per share to $1.22 for the full year from a loss of $6.41 a share in 2021. Revenue is seen ballooning to $1.295 billion in 2022 from $27 million last year. The 2021 figures are for only three quarters.

In Q1, Lucid delivered 360 EVs, it said in an earnings release Thursday. It has 30,000 reservations for the Lucid Air electric sedan, up from 25,000 in Feburary and representing $2.9 billion in potential sales.

On Thursday, Lucid reiterated its lowered 2022 production target of 12,000-14,000 EVs. It ended Q1 with $5.4 billion in cash, “which is expected to fund the company well into 2023,” the release said.

Arizona-based Lucid began producing the award-winning, luxury Lucid Air in fall 2021. But it has run into significant supply and logistics challenges, like other automakers.

Price hikes for various Air models will take effect at the beginning of June, Lucid said Thursday.

“We continue to face global supply chain and logistics challenges, including Covid-related factory shutdowns in China,” CFO Sherry House said in Thursday’s release. Lucid is working closely with suppliers to mitigate the impact of disruptions, House said.

“Looking forward, we remain intently focused on ramping production,” CEO Peter Rawlinson added.

On April 26, Lucid announced that Saudi Arabia’s government will buy up to 100,000 Lucid EVs over 10 years. The Saudi sovereign wealth fund is a top company stakeholder. Rawlinson called the deal “another pivotal moment” for Lucid. Among EV startups, Wall Street generally views Lucid as a viable Tesla competitor.

Lucid Stock, Nikola Stock

Lucid stock edged up 0.5% in late trade. Shares of Lucid fell 6.9% to 18.85 in the regular session on the stock market today, trading well below key levels of technical support.

Nikola stock jumped 6.4% to 7.66 Thursday, facing resistance at the 50-day average. Fisker stock lost 6.1% to 9.90, trading below the 50-day line.

All three new EV stocks remain mired far below their 200-day lines. The relative strength lines for Lucid stock and its EV startup peers show serious lag, a sign of underperformance vs. the S&P 500 index.

Tesla stock fell more than 8% Thursday.

Nikola, Lucid Updates

On Thursday, Nikola announced it began produced the Tre electric semi-truck on March 21 and expects to deliver 300-500 EVs this year. The EV startup continues to test a longer-range hydrogen-powered Tre truck, due in the second half of 2023.

In Q1, net loss widened to 21 cents a share from 14 cents a year ago. Nikola reported $1.9 billion in services revenue. Analysts were expecting Nikola to lose 25 cents per share on token revenue.

In September 2020, short seller Hindenburg Research targeted Nikola stock, accusing it of “an ocean of lies.” Nikola now runs under new top management.

Late Wednesday, Fisker affirmed it expects to start producing the Ocean SUV Nov. 17; it’s partnering with Magna (MGA) on production. Fisker reported Ocean reservations now stand at more than 45,000, up roughly 50% from February.

In Q1, Fisker lost 41 cents a share vs. estimates for a loss of 39 cents and a loss of 11 cents a year ago.

Find Aparna Narayanan on Twitter at @IBD_Aparna.

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