Lucid Group Inc Aktie News

Lucid is building an electric car company from the ground up. The company makes award-winning vehicles.

Rockwell Automation announced today that it will be providing software for Lucid's manufacturing plant in Saudi Arabia. Lucid stock is rocketing higher on the news, but the significance of the announcement could be less than valuation gains might suggest.

Lucid is using a growth strategy that is similar to the one Tesla succeeded with. The company aims to reach profitability on vehicle sales through improved manufacturing economics.

Lucid is an electric vehicle (EV) start-up trying to break into the highly competitive auto sector. The company has award-winning technology, but its vehicle production rate is too low to be profitable.

Lucid's electric vehicles have been groundbreaking, but profitability is at least a couple of years away. A huge investor has kept Lucid well funded.

Lucid launched its Gravity SUV last year, which helped boost vehicle production and delivery numbers. The business continued to post huge losses.

Lucid, as a company, has potential, and its products are solid, but its financial position is rough. The company is growing its revenue, but its costs are going up almost as quickly.

Lucid's sales aren't high enough yet to sustain the company's growth. Its losses are significant, and Lucid may need more capital at some point.