"Citi just trimmed its price target on Lucid Group ( NASDAQ:LCID | LCID Price Prediction) to $14 from $17, while keeping a Buy rating. Analyst Michael Ward cited the company's Q1 2026 miss and the withdrawal of its 2026 outlook, but argued the medium-term thesis remains intact."
"Ward's note acknowledges a rough quarter while leaning on 2027 catalysts. Citi sees inflection points as production starts at the new Saudi plant and capital spending declines, two levers that could reshape Lucid's unit economics. Lucid's Q1 2026 revenue came in at $282 million on a net loss of roughly $1 billion."
"CFO Taoufiq Boussaid stated, "With Silvio now on board and conducting his review of the business, we are suspending our prior guidance and we will provide a full updated outlook at our Q2 earnings call." Lucid's Q1 production rose to 5,500 vehicles, but deliveries came in at 3,093 after a temporary Gravity stop-sale tied to a supplier quality issue."
"Lucid's gross margin sank to negative 110%. Pro forma liquidity stood at $4.7 billion, with funding runway into the second half of 2027. Lucid stock has been punished. Shares trade near $6, down 43% year to date (YTD) and 78% over the past year."
Citi reduced its Lucid Group price target to $14 from $17 while maintaining a Buy rating. The change followed a Q1 2026 revenue of $282 million and a net loss of roughly $1 billion, alongside the suspension of prior guidance and withdrawal of the 2026 outlook. Lucid’s production rose to 5,500 vehicles, but deliveries fell to 3,093 after a temporary Gravity stop-sale tied to a supplier quality issue. Gross margin declined to negative 110%. Pro forma liquidity was $4.7 billion, providing funding runway into the second half of 2027. Citi pointed to 2027 inflection points, including production starting at a new Saudi plant and declining capital spending to improve unit economics.
Read at 24/7 Wall St.
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