From Yahoo Finance: 2025-05-02 10:00:00

Lucid Group had a record-setting year in 2024, aiming to break more records in 2025. However, the stock is trading below $3 per share, a significant drop from peak prices in 2021. Lucid delivered more vehicles each quarter in 2024, with a 71% year-over-year growth in the fourth quarter.

Despite impressive achievements, Lucid remains a high-risk investment with a deeply negative gross margin. The company aims to double production in 2025 but lags far behind Tesla. Lucid’s balance sheet shows roughly $4 billion in cash, with potential for more fundraising in the future to meet spending needs.

Investors considering Lucid stock should be cautious due to ongoing risks. While the company is making progress on key business goals, it remains unclear if it can achieve sustainable profitability. Conservative investors may want to avoid it, while aggressive growth investors might find it worth considering.

The Motley Fool Stock Advisor team did not include Lucid Group in their list of top 10 stocks, citing potential for monster returns elsewhere. With Lucid trading below $3 per share, it remains a high-risk investment despite progress made on key business goals. Investors should weigh the risks before buying stock in Lucid Group.

Read more: Is Lucid Stock a Buy Now?