Lucid Crashes To 52-Week Low

Lucid (NASDAQ: LCID | LCID Price Prediction) traded as low as $6.22, which is its 52-week low. The high for the period is $33.70, which it reached last July. Over the last year, the stock has collapsed by 74%, including a 9% daily sell-off last week.

For some reason, Lucid Motors Vice President of Communications Nick Twork posted on X, “Over the last 10 days, we raised approximately $1.05 billion across PIF, Uber, and a registered public offering, and expanded our DDTL with PIF to a total commitment of approximately $2.5 billion.” It was like trying to fly a kite in a hurricane. The decline in shares undermined the effort.

Twork also mentioned that Lucid appointed Silvio Napoli as CEO. His background made the decision an odd one. He was the CEO of Schindler Group, an industrial technology company. The CEO announcement was offset by the departure of Head of Growth Marketing Bryson Shellito

Twork also said Uber (NASDAQ: UBER) had committed to purchasing 35,000 Lucid vehicles, which did not impress the market either. Uber had also said it would invest $500 million.

Ayar Third Investment Company, an affiliate of the Public Investment Fund (PIF), continues to dump money into Lucid. PIF is the sovereign wealth fund of Saudi Arabia. It may be trying to protect its previous investments by keeping Lucid in business.

The stock could also have dropped on speculation that Lucid would go private at a price below its current level. According to 247WallSt, “The catalyst is fresh speculation that Saudi Arabia’s Public Investment Fund (PIF), Lucid’s majority shareholder, could take the company private. Investors are split on whether a full buyout would be a rescue or a raw deal at these depressed levels.”

Finally, Lucid has moved beyond saving. The company has lost billions of dollars since going public and says it will only produce 25,000 to 27,000 vehicles this year.

Nick Twork should stop posting on X.