As bizarre as it could sound, it’s actually not that distinctive to come back throughout shares which have shed 80% of their worth over the previous 12 months, particularly from people who went public by way of the SPAC route previous to the market meltdown.
As soon as such instance is Lucid Motors (NASDAQ:LCID), the posh EV maker that was put via the wringer in 2022. Factoring in provide chain snags and logistical issues, the start-up slashed its annual manufacturing targets twice final 12 months and buyers turned away in droves.
Nonetheless, the shares have been on the up on the onset of 2023 and final week the corporate offered a constructive replace. Lucid pre-announced 4Q22 manufacturing and supply numbers; at its Arizona facility, the corporate produced 3,493 autos throughout the quarter, amounting to a 53% sequential improve on 3Q22’s 2,282 autos. 1,932 autos had been delivered – a 38% quarter-over-quarter uptick. For the entire 12 months, the corporate manufactured 7,180 autos, beating its steering which known as for between 6,000 to 7,000 autos. In whole, Lucid’s automobile deliveries reached 4,369 in 2022.
The manufacturing numbers trumped Cantor’s Andres Sheppard’s expectations, who stays firmly within the EV maker’s nook.
“We’re inspired by LCID’s 4Q22 manufacturing and supply numbers,” the analyst stated. “LCID’s FY22 manufacturing autos are above firm steering and a very good signal that manufacturing is starting to scale and ramp up, in our view. We stay bullish on LCID over the long run, and we proceed to consider that the corporate’s autos are in a position to present better battery effectivity, longer vary, sooner charging, and extra inside area relative to friends.
Sheppard awaits Lucid’s This autumn earnings name (February 22) to make any modifications to his mannequin, however in the meantime sticks with an Chubby (i.e., Purchase) ranking backed by a worth goal of $18. Ought to the determine be met, buyers will likely be sitting on returns of ~118% a 12 months from now.
So, that’s the Cantor View, what about the remainder of the Road’s take? The analyst neighborhood is basically divided between the bulls and the bears in the case of Lucid Motors’ market alternative. The inventory claims a Maintain consensus ranking, based mostly on 3 Buys, 2 Holds and three Sells. (See Lucid inventory forecast)
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Disclaimer: The opinions expressed on this article are solely these of the featured analyst. The content material is meant for use for informational functions solely. It is rather necessary to do your personal evaluation earlier than making any funding.
