Make no mistake about it: you’ll need to be patient if you’re going to invest in Lucid Group (NASDAQ:LCID). Holding LCID stock is likely to test both your resolve and your faith in this highly unusual electric vehicle manufacturer.
Source: ggTravelDiary / Shutterstock.com
On the other hand, visionary investors might not mind the recent drawdown in the Lucid Group share price. Indeed, this can be viewed as an opportunity to invest in the future of the automotive industry.
Lucid Motors’ flagship automobile, known as the Lucid Air, is unique among electric vehicles. The Air can be described as a futuristic-looking luxury sedan which features a California-inspired design and race-proven automotive technology.
As the adoption of sustainable transportation gains traction, Lucid and its stakeholders could be positioned to profit handsomely. And after delving deeper into this audacious start-up, you might find yourself entranced by Lucid’s breathtaking vehicles.
A Closer Look at LCID Stock
Let’s rewind the clock to July 26, when special purpose acquisition company (SPAC) known as Churchill Capital IV merged with Lucid Motors. CCIV shares disappeared and was replaced with LCID stock, which closed at $26.83 on its first day of public trading, representing a very quick 11% gain.
Unfortunately, the price action wasn’t too thrilling after that. By Sept. 8, Lucid shares had already tumbled to $19.
Here’s where it gets really interesting, though. Back in February, when it was trading as CCIV stock, the share price rocketed to a 52-week high of $64.86.
During that time, meme stock mania was in full effect. Therefore, it’s possible that the Reddit short-squeeze mob was involved in this particular rally.
We can’t discount the possibility of another short squeeze taking place at some point in the future.
More importantly, however, we should consider whether Lucid Group is a company worth investing in.
Faster and Further
To help you decide, I suggest that you check out Lucid’s two recently revealed Air Dream Editions.
These vehicles aren’t for timid drivers with humdrum personalities. They’re designed to go faster and further, and to offer best-in-class performance and range.
First, there’s the Dream Edition Performance, which is aptly named as it will feature a powertrain optimized for speed and acceleration.
With the Dream Edition Performance, you can expect 1,111 horsepower and a top speed of 168 miles per hour. Plus, you’ll have the ability to go from zero to 60 miles per hour in just 2.5 seconds.
Then there’s the Dream Edition Range, which will deliver 933 horsepower along with the ability to go from zero to 60 miles per hour in 2.7 seconds.
That’s not as powerful as the Dream Edition Performance, but the Dream Edition Range will push the boundaries in terms of (you guessed it) range.
By way of comparison, Ferrari’s 296 GTB, set to go into production in early 2022, will have a 654-horsepower gasoline V6 engine that can go from zero to 60 in under three seconds, CNN Business reported in June.
To test out the range of these vehicles, Lucid completed an evaluation drive with Motor Trend using two Dream Edition Range cars.
The two cars were driven from Los Angeles to San Francisco and then back across the San Francisco Bay. Impressively, those vehicles traveled 445 miles on a single charge.
“Upon arrival, the cars displayed, respectively, 30 miles and 72 miles of charge remaining (for totals of 475 and 517 miles),” according to the LCID press release.
Peter Rawlinson, CEO and CTO of Lucid Group, took the opportunity to brag about these two novel vehicle versions.
“As a technology company, we seek to exceed expectations and this is clearly evident with our Lucid Air Dream Edition Performance and Range variants,” Rawlinson explained.
Both the Dream Edition Performance and the Dream Edition Range, fully-equipped, will be priced at $169,000. Oh, that new Ferrari? It’ll cost you 296,000 EUR ($353,000) to buy in Italy, including taxes.
So, start saving your money now if you’d like to take one of these Lucid Group vehicles home, once they’re available to the public.
The Bottom Line
I don’t mind sounding like a car salesman in this article — I’m just excited about Lucid Group and the company’s cutting-edge vehicles.
At the moment, the investing community doesn’t seem to be as enthusiastic as I am about this company and LCID stock.
That’s perfectly fine. In time, hopefully the Dream Edition Performance and Dream Edition Range will be best-sellers — and with that, the market might lift up the LCID stock price.
On the date of publication, David Moadel did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
David Moadel has provided compelling content – and crossed the occasional line – on behalf of Crush the Street, Market Realist, TalkMarkets, Finom Group, Benzinga, and (of course) InvestorPlace.com. He also serves as the chief analyst and market researcher for Portfolio Wealth Global and hosts the popular financial YouTube channel Looking at the Markets.
More From InvestorPlace
The post Lucid Group Stock Lulls Dreams of Luxury Electric Vehicle Perfection appeared first on InvestorPlace.