Investing

Prediction: Trump’s Latest Blow To Lucid (LCID) Pushes Shares Below $2

Austin Smith

Published: November 29, 2024 11:24 am

Key Points:

• If the Trump administration terminates EV tax credits Lucid’s (NASDAQ: LCID) shares could drop below $2
• The company depends mostly on the national wealth fund of Saudi Arabia, which owns 60% of Lucid, but given less than 3,000 vehicles in Q3 it questions its capacity to attract further capital.
• Also: forget about Lucid. Instead, look at The Next Nvidia stocks to secure your own future. Click here now to learn more.

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Transcript:

[00:00:00] Doug: Our friends at lucid had their stock fall below two two dollars. Uh oh two days ago Uh, it came up a little I don’t know that it’s going to hold at two dollars Because the bad news keeps on coming the most recent bad news is this The suspicion that you’re going to see the Trump administration eliminate the EV, um, tax credit.

[00:00:22] Doug: Now people need to understand something. You can buy an EV and get no credit. It depends on how much of the parts of the car are from the United States, how much of it’s assembled in the United States. I actually think it’s called North America and she can get zero. You can get 3, 750 or you can get 7, 500.

[00:00:45] Doug: Lucid’s problem is, is that. Most of its cars get the highest tax credit, which means that if it happens, they really get hurt.

[00:00:56] Lee: They really do. Yeah. They’ll, they’ll get smoked and, you know, we’ve discussed this, you know, as we’ve watched it crater and, you know, they, they weren’t able to do what some other people were doing.

[00:01:08] Lee: Go out and make a huge deal to get a big cash inflow. So it’s going to be interesting to see if they can make it through next year.

[00:01:16] Doug: Well, the only people who put money in the company of the Saudis through their, their sovereign wealth fund. But I think the Saudis own about 60 percent of the company now.

[00:01:25] Doug: Yeah, I think they do. I mean, the Saudis are rich, but I don’t know that they’re stupid rich. And to be able to be to the point where you keep dumping more money into the smallest EV company, almost in the universe, I think they sold, They delivered less than 3000 cars in the third quarter, which I, that’s, it’s very hard to do.

[00:01:49] Doug: Um, I just don’t get it. How do you get, how do you say I’m a car company and it’s a 3000 car quarter business? So my prediction is, is that, uh, that lucid will be a sub 2 stock. Most of the rest of this year. There’s a prediction. It’s there’s almost a month left.We’ll see what happens. All right.

[00:02:10] Doug: I think this is what we should do