The former chief engineer of Lucid Motors, Eric Bach, has sued the company for wrongful termination, discrimination, and retaliation, and claims one of the automaker’s top HR executives referred to him as a “German Nazi.” The federal lawsuit, filed Monday in the Northern District of California, claims Bach was stripped of his responsibilities overseeing the powertrain division in early 2025 as a result of an HR investigation into the company’s workplace culture. Bach claims to have been targeted because of ...

Upgrades - HSBC upgraded Visa (V) to Buy from Hold with a price target of $389, up from $335, citing strong financial performance and growth in services [2] - BofA upgraded Synopsys (SNPS) to Neutral from Underperform with a price target of $500, down from $525, anticipating a positive outlook on its upcoming EPS call [3] - Morgan Stanley upgraded General Motors (GM) to Overweight from Equal Weight with a price target of $90, up from $54, reflecting a change in analyst coverage and a revised outlook for the auto sector [4] - TD Cowen upgraded Ulta Beauty (ULTA) to Buy from Hold with a price target of $725, up from $600, due to expectations of stronger merchandising and global growth under new management [4] - Truist upgraded Five Below (FIVE) to Buy from Hold with a price target of $216, up from $179, highlighting the significance of the company's Q3 report [5] Downgrades - Rosenblatt downgraded Netflix (NFLX) to Neutral from Buy with a price target of $105, down from $152, following a significant acquisition announcement [6] - Morgan Stanley downgraded Rivian (RIVN) to Underweight from Equal Weight with an unchanged price target of $12, expressing caution regarding the electric vehicle market [6] - Morgan Stanley also downgraded Lucid Group (LCID) to Underweight from Equal Weight with a price target of $10, down from $30, reflecting a similar cautious outlook [6] - Morgan Stanley downgraded Tesla (TSLA) to Equal Weight from Overweight with a price target of $425, up from $410, citing high valuation and a cautious industry outlook [6] - Deutsche Bank downgraded 3M (MMM) to Hold from Buy with a price target of $178, down from $199, indicating limited upside potential through 2028 [6] - Benchmark downgraded Marvell (MRVL) to Hold from Buy, removing the price target, due to competitive losses impacting growth projections [6]

Summary of the Auto Industry and Shared Mobility Conference Call Industry Overview - The report focuses on the **North American Auto Industry** and **Shared Mobility** for the year 2026, highlighting a cautious outlook due to an anticipated 'EV Winter' expected to persist through 2026 [1][4][10]. Key Points and Arguments 1. **Sales Forecasts**: - The 2026 US Auto sales forecast is set at **15.9 million** units, reflecting a **1.0% year-over-year decline**. This includes **14.9 million** Internal Combustion Engine (ICE) vehicles (+1.0% y/y) and **1.0 million** Electric Vehicles (EVs) (-20% y/y) [5][11][25]. 2. **Market Dynamics**: - The **2025 US Auto sales** showed unexpected resilience, driven by pre-buying before tariff implementations and the expiration of consumer tax credits for battery electric vehicles (BEVs) [4][10]. - Factors contributing to the cautious outlook include: - Continued lack of affordability due to the expiration of EV tax credits and rising average transaction prices (ATPs) [5][10]. - Tightened credit standards, particularly affecting subprime borrowers, although some modest loosening has been noted recently [5][10]. - Inflationary pressures from tariffs expected to impact consumer prices through the first quarter of 2026 [5][10]. 3. **Consumer Behavior**: - There is pent-up demand in the market, with US Auto SAAR still below pre-COVID levels and an aging car parc averaging nearly **13 years** [5][10]. - Rate cuts may marginally improve affordability for consumers [5][10]. 4. **Scenario Analysis**: - **Bull Case**: Forecasts a SAAR of **17.5 million** (+8.7% y/y) if consumer confidence improves and OEMs focus on core ICE/hybrid offerings [12][25]. - **Bear Case**: Projects a SAAR of **14.5 million** (-9.9% y/y) if credit availability tightens further and consumer affordability worsens [12][25]. 5. **Stock Ratings Changes**: - **General Motors (GM)** upgraded to **Overweight** with a target price of **$90**, citing strong execution and capital allocation strategies [8][48]. - **Tesla (TSLA)** downgraded to **Equal-weight** with a target price of **$425**, reflecting high expectations and near-term headwinds [8][51]. - **Rivian (RIVN)** and **Lucid (LCID)** downgraded to **Underweight** due to negative EV outlooks [8][54]. Additional Insights - The report emphasizes the importance of monitoring policy updates regarding tariffs and consumer health indicators such as unemployment and inflation [12][13]. - The **EV market** is expected to face significant headwinds, with a projected **20% decline in volume** and a penetration rate of **6.5%** for BEVs in 2026 [10][31]. - Companies with diversified sourcing and regional manufacturing strategies are seen as better positioned amid geopolitical tensions and market shifts [47]. Conclusion - The North American auto industry is navigating a complex landscape with mixed signals for 2026. While there are opportunities for companies with strong execution and adaptability, significant challenges remain, particularly in the EV segment. Investors are advised to remain selective and focus on companies that can effectively manage costs and capitalize on market dynamics.

It has been about a month since the last earnings report for Lucid Group (LCID) . Shares have lost about 21.2% in that time frame, underperforming the S&P 500.Will the recent negative trend continue leading up to its next earnings release, or is Lucid Group due for a breakout? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at the most recent earnings report in order to get a better handle on the important catalysts.Key HighlightsRevenue: $336.6 million in Q3’ ...

Core Viewpoint - Lucid Group Inc. is facing significant challenges under the leadership of interim CEO Marc Winterhoff, with the company being considered for the annual worst CEO list due to strategic missteps and poor financial performance [1][3][7]. Financial Performance - Lucid's stock has declined by 53% this year, contrasting with a 16% gain in the S&P 500 [3]. - In the third quarter, Lucid produced 3,891 vehicles and delivered 4,078, resulting in revenue of $336 million, an increase from $200 million year-over-year. However, the company reported a loss of $1.03 billion, up from a loss of $950 million in the same quarter last year [5]. Market Position and Strategy - Lucid has struggled with low vehicle sales, selling only a small number of vehicles despite the expiration of the $7,500 tax credit for electric vehicles, which was expected to boost sales [4]. - The company has priced its vehicles too high for the current market, which is leaning towards more affordable electric vehicles. Management plans to introduce models priced around $50,000 by 2029, but there are doubts about the company's viability by then [8]. Future Outlook - The Chief Financial Officer made a vague statement suggesting that Q4 might be a good quarter, but projections indicate a sales run rate of only 8,500 units, potentially leading to another billion-dollar loss in the fourth quarter [9]. - Lucid has introduced attractive lease offers, but the base price of its Air model starts at $70,900, with higher-end models reaching up to $114,900. The Gravity model is expected to be the best seller in the current quarter, starting at $79,000 and going up to $127,000 [10].

Core Viewpoint - Lucid Group, while recognized for its high-quality electric vehicles, is facing significant stock performance challenges, making Uber Technologies a potentially better investment opportunity [2][3][8]. Group 1: Lucid Group Overview - Lucid Group is a small auto manufacturer focused on luxury electric vehicles, receiving positive reviews in the EV market [1]. - Despite a 68% year-over-year increase in sales to $336.6 million in Q3, Lucid reported a loss exceeding $1 billion during the same period [7]. - The company's stock has decreased approximately 41% over the past year, indicating volatility despite growth in vehicle deliveries and revenue [2][5]. Group 2: Partnership with Uber - Lucid has partnered with Uber to supply at least 20,000 vehicles for Uber's robotaxi fleet over the next six years, which is expected to enhance Lucid's sales and brand visibility [3]. - The partnership may provide substantial benefits to Lucid, but the overall investment outlook for Uber appears more favorable [3][8]. Group 3: Uber Technologies Overview - Uber's stock has increased approximately 22% over the past year, contrasting with Lucid's decline [5]. - Currently, Uber trades at 14 times expected forward earnings, showcasing a strong valuation compared to Lucid [6]. - Uber has demonstrated its ability to generate reliable cash flow and has multiple growth avenues, positioning it as a strong long-term investment [8].

This story was originally published on CFO.com. To receive daily news and insights, subscribe to our free daily CFO.com newsletter. Luxury electric vehicle maker Lucid Motors opened a manufacturing plant in Saudi Arabia two years ago in part to fulfill a major purchase order with the country. Now, the facility may serve another purpose: avoiding American tariffs. Speaking at the UBS Global Industrials and Transportation Conference in Florida on Wednesday, Lucid Motors CFO Taoufiq Boussaid said his Newark ...

Core Insights - Lucid Motors is striving for mass production of electric vehicles (EVs) but faces significant cost challenges [1][5] - The automotive sector is highly competitive, with established players also focusing on EV technology, making it difficult for new entrants like Lucid to gain market share [2][4] Company Performance - As of Q3 2025, Lucid produced 3,891 EVs, representing a 116% year-over-year increase, but this is less than 1% of Tesla's production of 447,450 vehicles [6] - Lucid reported a loss of $3.31 per share in Q3 2025 and a total loss of $8.50 per share for the first nine months of the year, indicating significant financial strain [8] - Revenue from car sales in Q3 was approximately $337 million, while production costs were nearly $672 million, highlighting a substantial loss per vehicle sold [8][9] Financial Health - Research and development costs in Q3 totaled $325 million, nearly matching the revenue from car sales, which raises concerns about the sustainability of its growth strategy [9] - At the end of Q3 2025, Lucid had around $1.6 billion in cash and $700 million in short-term investments, suggesting a potential need for additional capital to support expansion [10] - The company may need to raise funds through debt or equity sales, both of which carry risks such as increased interest costs and shareholder dilution [12] Market Position - The competitive landscape for EVs has intensified since Tesla's entry, making it challenging for Lucid to establish itself in the market [13] - Without evidence of achieving gross profit or sustainable profitability, the investment outlook for Lucid remains uncertain [13]

Group 1 - The presentation at the UBS Industrials Conference features Lucid, with CFO Taoufiq Boussaid in attendance [1] - Attendees have the opportunity to test drive Lucid vehicles, including the Air and the new Gravity model, highlighting the quality of the ride [2]

Summary of Lucid Group Conference Call - December 03, 2025 Company Overview - **Company**: Lucid Group (NasdaqGS: LCID) - **Industry**: Electric Vehicles (EVs) Key Points Market Position and Demand - Lucid operates in the premium EV segment, which has shown resilience compared to other EV segments [5][8] - Approximately 70% of Lucid vehicles sold in the U.S. are leased [6] - The company is experiencing an increase in market share and positive indicators for Q4, including rising test drives and traffic [8] - The Gravity model is expected to dominate Q4 production and sales, aligning with initial expectations [11] Product Reception and Future Plans - The Gravity vehicle has received numerous accolades for its comfort, finishing, and performance, with order trends meeting expectations [11] - Lucid plans to introduce a new mid-size platform aimed at a price point around $50,000, making it more accessible while maintaining premium quality [19][21] - The mid-size platform will consist of three different vehicles, leveraging unit economics and shared parts [19] Production Strategy - Production of the mid-size platform is planned to start in Saudi Arabia, allowing for cost-effective importation of materials without incurring significant duties [22][23] - The new plant in Saudi Arabia will be fully automated, with production ramping up to full capacity by 2029 [31] - Lessons learned from the U.S. facility will be applied to ensure quality and efficiency in the new plant [34] Partnerships and Technology - Lucid has partnered with Uber and Nuro for autonomous vehicle initiatives, with plans to deploy 20,000 vehicles over six years in the San Francisco area [45] - The partnership with NVIDIA aims to develop level four autonomous driving capabilities, enhancing the consumer experience [49][51] - The company is focused on a dual strategy for autonomy, balancing B2B and B2C applications to mitigate risks and optimize capital allocation [53] Financial Outlook - Lucid is expected to reduce cash usage significantly as production ramps up, with a focus on maximizing returns from existing investments [70][72] - An investor day is planned for the first half of 2026 to discuss cash flow and break-even timelines [68][70] Supply Chain Considerations - The company acknowledges the complexity of the supply chain, emphasizing the importance of sourcing critical parts locally to mitigate risks [88][98] - Lucid is open to sourcing batteries locally in the future if it aligns with their supply chain de-risking strategy [98] Conclusion - Lucid Group is strategically positioned in the premium EV market, with a focus on expanding accessibility through new product offerings and partnerships. The company is leveraging lessons learned from past production experiences to enhance efficiency and quality in future manufacturing endeavors.