Lucid Stock Jumps On Gravity SUV Announcement

Shares of Lucid Motors (LCID) are in the midst of a two-day rally after the EV maker announced that the 2024 Lucid Gravity SUV has begun testing on public roads across the US. LCID ended the day with a 7.12% gain on Wednesday and the climb has continued through today's trading.

Family Resemblance: Lucid Gravity will feature a beefed-up version of the Lucid Air's fascia.

Buoyed by Gravity
Concrete progress on Lucid's second model is exactly the kind of good news that the startup's beleaguered investors have been hoping for. Company-wide layoffs, slower than anticipated production and declining reservations for the Lucid Air have held Lucid's share price down over the past month. Lucid delivered just over 1400 Airs during Q1 and plans to build 10,000-14,000 vehicles by year's end.

The Lucid Gravity announcement seems to be turning things around, however, and the rate at which the stock is climbing suggests that there are plenty of investors out there just looking for a reason to hop on the Lucid gains train. The Gravity will open new sales avenues for Lucid given the public's love of tall, large vehicles but also promises supercar performance and excellent space and comfort for its passengers.

In a statement released with the announcement Lucid CEO Peter Rawlinson said that "as our technology continues to evolve and lead the market, we are in a place where the Gravity is positioned to change the world of SUVs." Investors may be thinking along similar lines, as the stock is up 13.43% at the time of writing today.

"All In" Rating
In fact, LCID's future looks so bright that analysts at The Motley Fool have given the stock their rare "All In" seal of approval. Stocks that are given this rating average returns of 347% with some delivering as much as 10,000%. Previous recommendations include Amazon, Netflix, NVIDIA and Tesla which is up 460% since its January 2020 "All In" rating.

Whether Lucid follows suit remains to be seen, but LCID investors will surely be happy with this trend heading in the right direction.

Related Story: Lucid Q1 Earnings Call: Bumpy Road Ahead?

Images by Lucid Motors licensed by CC BY 4.0.

James Walker is an Automotive Journalist at Torque News focusing on Lucid Motors. If it's got wheels he's interested, and he's looking forward to seeing what kind of cars the EV revolution brings us. Whether it's fast, slow, new, or old, James wants to have a look around it and share it in print and on video, ideally with some twisty roads involved. You can connect with James on Twitter, Instagram, and LinkedIn.