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Lucid Shares Hit New Low After Stifel Cuts Price Target

The price-target cut highlights worries over cash needs despite a recent $875 million convertible-note sale.

Overview

  • Stifel lowered its Lucid price target to $17 from $21 and kept a Hold rating, citing expectations the company will need more capital over the next few years.
  • Shares touched a fresh all-time low on Monday and were recently trading around $13.38, extending a roughly 32% slide over the past month and about 56% year to date.
  • Uber’s disclosed stake fell about $131.5 million in value during the first six weeks of the fourth quarter, dropping roughly 40% to $194.8 million based on Friday’s close.
  • Lucid last week priced 7% convertible senior notes due 2031 to raise about $875 million, saying proceeds will refinance nearer-term maturities and bolster working capital.
  • Operational pressures persist, with a second 2025 production cut to 18,000 units and a Q3 revenue result that trailed forecasts as reports point to additional senior executive departures.