Lucid Group's Q2 Deliveries 'Disappointing,' Yet Saudi Arabia Shipments Seen As Positive: Analyst Insights On Earnings

Shares of Lucid Group Inc LCID remained choppy in early trading on Tuesday, as investors digested the company’s second-quarter results.

The report came amid an exciting earnings season. Here are some key analyst takeaways from the earnings release.

Needham On Lucid Group

Analyst Chris Pierce maintained a Buy rating, while reducing the price target from $10 to $9.

Lucid Group’s vehicle deliveries in the second quarter “represent a low point,” with the company ramping in Saudi Arabia, Pierce said in a note. “The road from here is likely rocky, but LCID is taking aggressive actions to drive adoption and increase investor confidence ahead of future catalysts and capital raises,” he added.

“We think LCID's industry leading EV technology deserves a seat at the table as EV adoption proliferates given the potential rewards for OEMs who can successfully navigate the ICE to EV transition,” the analyst further wrote.

Check out other analyst stock ratings.

Cantor Fitzgerald On Lucid Group

Analyst Andres Sheppard reaffirmed an Overweight rating and price target of $10.

Lucid Group has been lowering vehicle prices in an attempt to boost demand, Sheppard said in a note. He added, however, that the company's production and deliveries in the second quarter were “disappointing.”

“Nonetheless, we view the disclosure that the company has begun 'material shipments' to Saudi Arabia as positive, because the government of Saudi Arabia is the company's biggest client and has an order for up to 100,000 vehicles over a 10-year period,” the analyst stated.

LCID Price Action: Shares of Lucid Group had risen by3.57% to $6.64 at the time of publication Tuesday.

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