Group 1: Stock Split Overview - A high-profile electric-vehicle (EV) manufacturer, Lucid Group, has announced a 1-for-10 reverse stock split, consolidating over 3 billion outstanding shares to approximately 307.3 million [6][10] - The reverse stock split will increase Lucid's share price from $1.98 to $19.80 when trading commences [10] - Reverse stock splits are generally viewed negatively by investors, as they often indicate underlying operational struggles [5][7] Group 2: Company Performance and Challenges - Lucid Group's stock has declined nearly 97% since its all-time high in early 2021, reflecting significant operational challenges [11] - The company has consistently lowered its production forecasts, with a 2024 estimate dropping from 90,000 units to just 9,000 [16] - Supply chain issues and delays in launching new models, such as the Gravity SUV, have further hampered Lucid's ability to scale production [17][18] Group 3: Financial Position - Despite operational losses, Lucid Group ended June with over $2.8 billion in cash and investments, supported by Saudi Arabia's Public Investment Fund [19] - The company reported a loss of over $1.5 billion in the first half of 2025 and has accumulated losses of $13.8 billion since inception [19] - There are no immediate solvency issues, but the company has burned through $1.26 billion in cash from operations in just six months [19]