Lucid Group Inc. (NASDAQ: LCID) is capturing the attention of EV investors after its recent stock correction, creating a potential buying opportunity. After trading as high as $3.50 in February 2025, shares have dipped to just over $2, presenting a compelling entry point. With the launch of its highly anticipated Gravity SUV, Lucid could be on the brink of a massive growth phase.
Lucid’s Recent Stock Correction Creates a Discount Opportunity
Lucid’s share price has plummeted 22% over the past few weeks, bringing its market cap down to approximately $7 billion. With a 52-week range of $1.93 to $4.43, the current price of around $2.15 represents a steep discount from its recent highs. This drop comes despite looming catalysts that could fuel a strong rebound.
The Gravity SUV: A Game-Changer for Lucid
Until recently, Lucid was a one-model company, selling only the Lucid Air luxury sedan. Priced between $70,000 and $250,000, the Lucid Air targets the high-end luxury market, limiting its potential customer base. However, the launch of the Gravity SUV in December 2024 has the potential to double Lucid’s sales base.
The Gravity SUV aims to capture the rapidly growing premium electric SUV market, directly competing with Tesla’s Model X and Rivian’s R1S. While it still comes with a luxury price tag, the SUV segment is significantly larger than the premium sedan market, creating a much broader sales potential.
Revenue Set to Skyrocket
With the Gravity SUV deliveries underway, analysts expect Lucid’s revenue to surge:
- Q1 2025 estimates project 50% sales growth, outpacing both Tesla and Rivian.
- For the full year, Lucid’s revenue is expected to nearly double, a major leap for the emerging EV maker.
- This projected growth could reignite investor confidence, driving LCID stock back toward its recent highs.
Lucid vs. Rivian and Tesla: Catching Up Fast
Despite its smaller market presence, Lucid is steadily gaining ground against rivals. In 2024, the company generated $800 million in revenue, a fraction of Rivian’s $5 billion and Tesla’s nearly $100 billion. However, Lucid’s smaller revenue base makes it easier to deliver explosive growth.
With only two models in its lineup, Lucid’s potential for revenue expansion is significant. Its luxury branding and expanding model range could enable the company to carve out a niche in the competitive EV market, driving long-term shareholder value.
Why Lucid Stock Could Be a High-Growth EV Bet
As Gravity SUV deliveries ramp up and revenue growth accelerates, Lucid’s stock could experience a sharp rebound. The current dip in share price offers a potential buying opportunity for investors looking to capitalize on Lucid’s expansion and the broader EV market growth.
