2 Reasons Lucid Group Is a Long-Term Buy for 2030 and Beyond

Core Viewpoint - Lucid Group shares may present a buying opportunity despite recent challenges, with analysts projecting nearly 100% revenue growth over the next 12 months [1][2]. Group 1: Current Challenges - Lucid Group's stock has declined nearly 30% since the beginning of the year, reaching its lowest levels in years due to short-term challenges [1]. - The electric vehicle (EV) market has faced valuation declines across the board, with Tesla's valuation dropping nearly 50% despite its strong sales [3]. - Uncertainty surrounding EV demand forecasts and potential repeal of EV subsidies has negatively impacted market sentiment [3][5]. Group 2: Leadership Changes - The abrupt departure of Lucid's longtime CEO on February 25 has added to investor uncertainty, contributing to a multi-week decline in share prices [4][5]. Group 3: Growth Potential - Lucid has begun shipments of its Gravity SUV, which is expected to double its product lineup and is a key driver behind analyst expectations for 94% sales growth in 2025 [6]. - The company plans to launch several new mass-market vehicles priced under $50,000 in 2026, which could significantly expand its customer base, similar to Tesla's success with the Model Y and Model 3 [7]. Group 4: Financial Considerations - Despite having a capital runway through 2026, Lucid may need to raise additional funds to scale production, as it currently operates with negative gross margins [8]. - The uncertainty surrounding the CEO's departure and the timeline for new vehicle launches adds complexity to the company's growth projections [8]. Group 5: Investment Outlook - Lucid shares may be suitable for patient and aggressive growth investors, as the projected growth is not guaranteed and carries significant uncertainty [9].