Since Lucid Motors went public, the majority of investors had their calendars marked to January 19th 2022. That was the date that the largest Lucid shareholder the PIF shares were going to unlock. We have seen a steady downturn for $LCID shares since the PIF lockup expired, trading around $40 one week prior to the lockup, to nearly $25 after the lockup.
At this time all indications point that the PIF did not sell their $LCID shares, it looks as if they have held them. They have sold $80 Billion of their oil stake and put that into their state fund. The PIF understands the future very well and knows that the renewable energy industry is going to be a gigantic total addressable market. This will be confirmed in the next filing of the 13F.
Follow The Smart Money
Blackrock, the world's largest mutual fund company, was a big backer into Lucid Motors and helped $LCID go public via a Special Purpose Acquisition Company $CCIV. Blackrocks CEO Larry Fink recently stated, “ the next 1,000 unicorns will be green energy companies.”
A ton of institutions and hedge funds are putting their money into the renewable energy and electric vehicle industries because these industries represent the future. Lucid Motors could be one of the leaders of this new revolution. Tesla has already paved the way for the electric vehicle infrastructure to be built up and Elon Musk expedited the growth of these two industries.
With that said, some of the other renewable energy companies like Lucid Motors and Rivian along with an assortment of additional companies could find themselves in a great spot to continue to increase their market capitalization and grow even faster. The growth rate of these two industries is going to be fierce and ugly for short sellers. Investing in the future when the market has shown so much uncertainty is one of the best ways to hedge both inflation and false information that is thrown out there on social media.
What Does This Mean For Investors?
The Saudi Arabian Public Investment Fund (PIF) is fully backing Lucid Motors now and in the future. The PIF has huge plans for Lucid Motors, including plans to build a factory in a premier location near the Red Sea. In addition, they want Lucid to start importing the Lucid Airs to Saudi Arabia in late 2022. According to Peter Rawlingson, “Lucid sees Saudi Arabia as its second-biggest market for luxury electric cars in terms of pre-orders.”
FUD Is Begin Spread
I wrote a few articles and went on some livestreams on YouTube to tell people that Lucid was in the PIFs long term plans and I got absolutely blasted. People were saying that I lost my legitimacy because there is no way the PIF does not realize some of their gains from Lucid. But the PIF understands where the future is headed. As well as, the largest institutions in the world. Retail continues to sell Lucid Motors shares for so cheap because of the FUD that is being spread around.
I am here to say that Lucid Motors will be able to withstand competitions and they will climb near the top of both the renewable energy and electric vehicle race. They have the technology and the management team to do it.
My Thoughts As a Lucid Shareholder
I am absolutely ecstatic at the thought that the PIF did not sell their shares, that would mean that something had gone wrong for Lucid, since in their previous plans they included Lucid in their 2030 Vision. The fact that the PIF is rotating their funds assets from Aramco the Oil Giant to the State Fund, is bullish for the electric vehicle industry. The PIF missed out on the Tesla gains, something tells me they will not miss out on the Lucid gains.
Disclaimer: The Original Article was revised due to the fact the 13F was filed for December 2021 and not January 2022. The Article will be updated and reposted after the January 2022 13F has been published.
Anthony Donati focuses on electric vehicles and renewable energy companies. He covers Lucid Motors news at Torque News. Please follow him on Twitter at @TheLucidVerse for daily Lucid Motors news. He has a degree in Business Administration with a concentration in Finance. DISCLAIMER: Anthony is a Lucid Motors (LCID) stock holder.
Images Courtesy of Lucid Motors