TSLA - Lucid Slashed 2022 Productions Guidance - What Does It Mean?

• Lucid extended declines during regular trading Tuesday after posting a weak showing for its fourth quarter earnings call on Monday evening.
• The EV pure-play has slashed its production guidance for 2022 to a range of 12,000 to 14,000 vehicles, down from 20,000 vehicles as previously guided, citing supply chain constraints.
• Lucid has also delayed the start of productions of its Gravity SUV from late 2023 to the first half of 2024.
• Yet, compensatory factors ranging from increased global production capacity to the continued build-out of its overseas footprint and product roadmap are expected to bolster Lucid's penetration into new markets over the longer-term, underpinning better valuation prospects ahead.
• Considering the EV pure-play's operating environment has not materially changed from temporary, near-term industry-wide supply chain challenges, and its growth outlook remains strongly intact, the Lucid stock still makes a reasonable long-term investment pick at current price levels.

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