2023-12-12 11:00:17 ET
Shares of Lucid Group Inc (NASDAQ: LCID) tanked about 10% this morning after the EV maker said Sherry House has decided to step down as its Chief Financial Officer.
Gagan Dhingra named the new CFO of Lucid
House is leaving immediately to pursue other opportunities, as per the company’s press release on Tuesday.
The luxury electric car manufacturer has already started looking or a replacement. Gagan Dhingra will serve as its interim finance chief in the meantime. Dhingra has so far been with Lucid Group as its Vice President of Accounting.
The news arrives a month after the Nasdaq-listed firm said it now expects to produce up to 8,500 vehicles in 2023. Its previous outlook was for 10,000 units.
Lucid stock is now down over 65% versus its year-to-date high.
Watch here: https://www.youtube.com/embed/donoB41y6MY?feature=oembedIs it worth buying Lucid stock on the weakness?
Note that Lucid Group was recently removed from the Nasdaq 100 index as well.
Stifel analyst Stephen Gengaro assumed coverage of the electric vehicles company this week with a “hold” rating. His $5.0 price objective still suggests about an 18% upside from here.
Gengaro does like the Lucid Air and sees investment from the Saudi PIF as a positive as well. But he remains neutral on the Lucid stock on concerns of brand awareness and uncertainty related to whether it’ll have to raise more capital in 2025.
The Stifel analyst is also not confident because the Newark-headquartered firm is still in a “prove it to me” stage in terms of production.
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