California-based EV automaker Lucid (LCID) and its chief rival Tesla (TSLA) are the only two EV manufacturers that have achieved anything of this high caliber: producing a car worthy of Car and Driver’s prestigious 10Best list.
In his writeup, C&D Associate Editor Austin Erwin said that the least expensive Lucid, the Lucid Air Pure, made him feel as if he were “holding a golden ticket instead of a coupon,” crediting its impressive range, performance, and space for the price.
Although Lucid currently makes just one model, the Air sedan, the brand plans to introduce a new SUV called the Gravity later this year. However, a new photo on social media may give a glimpse into a new series of models that might help the EV automaker take on Tesla and put them in the black.
Wrapping up Tech & Manufacturing day: A new sneak peek at one of our upcoming midsize vehicles, set for production in late 2026 with a starting price under $50k.
With leading technology and efficiency, it will be able to deliver the same range as competitors while using a… pic.twitter.com/yJ5re2fIlt
— Lucid Motors (@LucidMotors) September 10, 2024
Coming down to [Lucid] Earth
In a post on X, formerly known as Twitter, Lucid provided a visual “sneak peek” into one of its upcoming models.
Though it is still obscured in a silhouette, the curvy new Lucid is the first in what it calls its midsize SUV platform, a series of lower-priced, mainstream models aimed squarely at Tesla’s volume sellers: the Model Y and the Model 3. In the post, it notes that the still to be named car will feature “leading technology and efficiency” and that “it will be able to deliver the same range as competitors while using a smaller battery.”
In a previous interview with Autocar in December 2023, Lucid CEO Peter Rawlinson noted that the company wants to go for volume, and that the new cars are its key forward and a great way to showcase its advanced technology.
“The mid-sized [line] is going to be overtly a Tesla competitor – Model 3, Model Y. This is the first time I’ve ever said it: we’re going to compete in that market – high-volume family car,” Rawlinson told Autocar.
“And how can we compete? Because we’ve got the most advanced technology, which means we can go farther with less battery, and the battery is the most high-cost item of an electric car. So if you can go a certain distance with less battery, you can make that car more cheaply than anyone else.”
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Lucid’s vision for going after for the EV sales winners; the Tesla Model Y and Model 3 will find them in a crowded, but very public platform for them to stand out. Though they plan to sell the still-unnamed car with a starting price “under $50k,” sometime in late 2026, concerns about its financials are today’s story.
Despite making record sales of its Air sedan, Lucid is still hemmoraging money. During its second quarter 2024 results on Aug. 5, it reported a net loss of $790 million during the quarter, which was 3.4% higher than the same period last year.
“Our Q2 financial performance reflects the positive momentum of increased sales of Lucid Air and the results of our cost reduction efforts, which contribute to the journey toward improving gross margin,” Interim Lucid CFO Gagan Dhingra said.
On the same day, it also announced that its biggest shareholder, the Saudi Arabian Public Investment Fund (PIF), injected another $1.5 billion into the luxury electric automaker.
Related: Lucid’s CEO throws shade at BMW, Tesla
In a separate statement, the interim Lucid CFO said that the lifeline should help Lucid through for a while.
“The additional $1.5 billion commitment by an affiliate of the PIF announced today is expected to provide sufficient liquidity into at least the fourth quarter of 2025,” Dhingra said.
In a new note published on Sept. 11, Bank of America analysts led by John Murphy noted that Lucid “did not provide any update on financial aspects,” but addressed that the CEO “made clear that the path to profitability highly depends on scale.”
Murphy drew special attention to another Lucid technology unveiled at the event; a miniaturized drive unit that will enable them to use a smaller battery pack than its competitors; which could be a benefit if it could be made at scale.
“We would ultimately like to see this translate into improved financial results and profitability,” the analysts said. “However, note that LCID currently does not enjoy any benefit from production at scale since production volumes remain low.”
The Bank of America analysts maintain their Neutral rating on LCID and $3.55 price objective.
At the closing bell, Lucid Motors, which trades on the Nasdaq as LCID, is up 12.75% today, at $3.98 per share.
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