LCID Stock Crashed Last Year, But Will Robotaxis Save the Day for Lucid in 2026?

Industry Overview - The electric vehicle (EV) industry faced significant challenges last year, exacerbated by the withdrawal of the $7,500 tax credit and auto tariffs, which pressured margins and increased losses for startup EV companies [1] - The U.S. EV industry is experiencing slowing sales and massive production overcapacity, leading to a price war [1] Company Performance: Lucid Group - Lucid Group (LCID) stock fell 65% last year and has continued to decline since its SPAC merger hype in 2021 [2] - Lucid's market capitalization is now below $4 billion, trading at a fraction of its 2021 highs [3] - The company reported a 55% increase in deliveries to 15,841 units last year, meeting its revised production guidance of 18,000 units [4] - Despite the increase in deliveries, Lucid continues to face significant losses and cash burn, with its cost of revenues in Q3 2025 nearly double its revenues for that quarter [5] - Lucid Motors burned nearly $1 billion in cash during the quarter, necessitating frequent capital raises at progressively lower share prices, leading to substantial dilution [6] - The partnership with Saudi Arabia's Public Investment Fund (PIF) has been crucial for Lucid, providing billions in funding through participation in stock sales since the company's 2021 listing [6]