Lucid Group Stock Fair Value – Lucid Group Continues Streak of Consecutive Losses
January 6, 2024
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Lucid Group ($NASDAQ:LCID) has been facing an unfortunate streak of losses, with the company heading towards its seventh consecutive session of losses. This has been a setback for the company, which has seen its share prices dip despite a positive outlook from analysts. Lucid Group is a healthcare communications group that provides integrated strategy, creative services and medical education services to healthcare industries. It is headquartered in London and listed on the London Stock Exchange, where it trades under the ticker symbol LUC.
The company operates through four divisions, namely Lucid Medical Communications, Lucid Digital, Lucid Education and Lucid Global Services, serving clients in the pharmaceutical, biotechnology and consumer health industries. Despite its strong presence in the healthcare field, Lucid Group’s share prices have been hit hard by the recent streak of losses. Analysts are still optimistic about the company’s long-term prospects, however, as it has a track record of delivering impressive results from its different divisions and teams.
Stock Price
On Friday, the LUCID GROUP stock opened at $3.9 and closed at $3.8, marking a 2.8% decrease from its prior closing price of $3.9. This marks yet another consecutive loss for the company, continuing a trend that has been ongoing for several weeks now. Investors have been largely disappointed with the company’s performance, and share prices have been on a downward trajectory since mid-April.
The cause of this continuing recession is still unclear, but it has certainly resulted in a heavy loss of investor capital. It is now up to the LUCID GROUP management to find a way to turn the situation around and restore investor confidence. Live Quote…
About the Company
Income Snapshot
Below shows the total revenue, net income and net margin for Lucid Group. More…
| Total Revenues | Net Income | Net Margin |
| 695.83 | -2.65k | -413.7% |
Cash Flow Snapshot
Below shows the cash from operations, investing and financing for Lucid Group. More…
| Operations | Investing | Financing |
| -2.66k | -1.99k | 4.56k |
Balance Sheet Snapshot
Below shows the total assets, liabilities and book value per share for Lucid Group. More…
| Total Assets | Total Liabilities | Book Value Per Share |
| 8.94k | 3.54k | 2.36 |
Key Ratios Snapshot
Some of the financial key ratios for Lucid Group are shown below. More…
| 3Y Rev Growth | 3Y Operating Profit Growth | Operating Margin |
| 409.8% | – | -376.7% |
| FCF Margin | ROE | ROA |
| -516.2% | -28.8% | -18.3% |
Analysis – Lucid Group Stock Fair Value
We at GoodWhale conducted an analysis of the financials of LUCID GROUP. With our proprietary Valuation Line, we were able to determine that the intrinsic value of the LUCID GROUP share is around $686.0. Currently, the LUCID GROUP stock is trading at $3.8 – a significant discount of 99.4%. Our calculations indicate that this presents an interesting opportunity for investors looking to purchase undervalued stocks. More…
Peers
Lucid Group Inc is an American automotive company founded in 2007 by Bernard Tse and Sam Weng. The company’s first car, the Lucid Air, was unveiled in December 2016. Lucid Motors is financed by the Public Investment Fund of Saudi Arabia and is headquartered in Newark, California.
Lucid Group’s main competitors are Tesla Inc, NIO Inc, and Rivian Automotive Inc. Tesla Inc is an American electric vehicle and clean energy company based in Palo Alto, California. NIO Inc is a Chinese electric vehicle company headquartered in Shanghai. Rivian Automotive Inc is an American electric vehicle manufacturer based in Plymouth, Michigan.
– Tesla Inc ($NASDAQ:TSLA)
Tesla, Inc. is an American electric vehicle and clean energy company based in Palo Alto, California. Tesla’s market cap as of 2022 is 689.96B with a ROE of 27.88%. The company specializes in electric vehicle manufacturing, battery energy storage from home to grid scale, solar panel manufacturing, solar roof tiles, and related products and services.
– NIO Inc ($SEHK:09866)
NIO Inc is a Chinese electric vehicle and technology company headquartered in Shanghai. The company was founded in 2014 by William Li. NIO designs, develops, manufactures, and sells electric vehicles in China, the United States, Germany, and the United Kingdom. The company also provides electric vehicle powertrains, batteries, and components.
NIO Inc has a market cap of 154.77B as of 2022. The company has a Return on Equity of -13.53%. NIO Inc designs, develops, manufactures, and sells electric vehicles in China, the United States, Germany, and the United Kingdom.
– Rivian Automotive Inc ($NASDAQ:RIVN)
Rivian Automotive Inc is an American electric vehicle manufacturer. Founded in 2009, the company produces electric vehicles, batteries, and components. Rivian’s market cap is 28.86B as of 2022 and its ROE is -23.66%. The company’s electric vehicles include the R1T pickup truck and the R1S SUV.
Summary
Lucid Group has been facing a streak of seven consecutive trading sessions in the red, leading to decreased investor confidence. Analysts have pointed to a decrease in liquidity in the market and high levels of volatility as possible explanations for the company’s struggles. Despite the current trend of losses, long-term investors remain bullish on the stock, citing the company’s strong fundamentals, innovative product portfolio, and diversification into new markets as potential catalysts for an eventual rebound. In the short-term, investors should closely monitor the company’s financials for any sign of recovery or further deterioration.
