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Lucid Group: Bearish Signals in an Unsustainable Business
LCIDLucid (LCID) Gurufocus·2024-06-06 13:01

Once a super-hyped 90billionelectricvehiclemaker,LucidGroupInc.(LCID,Financial)nowfacesextremeskepticismfromthemarketsasitstrugglestoachieveasustainablebusinessinamarketthatlooksverydifferentcomparedtothreeyearsago.However,despitetheseadvantages,LucidisfarfromachievingsustainabilityandhasbecomeacashburningmachinefundedbySaudiArabia.IttargetsanicheluxuryEVmarket,butstruggleswithprofitability,losingover90 billion electric vehicle maker, Lucid Group Inc. (LCID, Financial) now faces extreme skepticism from the markets as it struggles to achieve a sustainable business in a market that looks very different compared to three years ago. However, despite these advantages, Lucid is far from achieving sustainability and has become a cash-burning machine funded by Saudi Arabia. It targets a niche luxury EV market, but struggles with profitability, losing over 100,000 per vehicle, reporting a $6 ...