LCID - Why Lucid Stock Sank This Week
2024-07-18 15:52:34 ET
Electric vehicle (EV) manufacturer Lucid Group (NASDAQ: LCID) has released a string of good news so far in July. But the EV start-up's stock has been tanking this week. As of late trading Thursday, Lucid shares were lower by 16.7% for the week, according to data provided by S&P Global Market Intelligence .
But this week's drop should be put in the context of a larger move. Even with the stock's pullback, it has soared by more than 35% over the last month. Some of this week's correction is likely due to profit taking after that torrid four-week run. But some also has to do with the business and larger EV picture.
Lucid's still in start-up mode , so its report of record second-quarter deliveries needs to be taken in the right frame of reference. It sold almost 2,400 luxury EVs in the period, but investors will have to wait until it provides full quarterly results on Aug. 5 to see the full story. That story is likely to continue to show heavy losses.
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Why Lucid Stock Sank This Week