LCID: Lucid Stock Gains 10% as Investors Ease Concerns Over Trump’s EV Tax Credits

Nasdaq-listed luxury EV maker easily topped $2.50 a share after rumors speculated that Donald Trump may be walking back his intention to ban EV tax credits.

• Lucid stock LCID rallied just over 10% on Monday after rumors broke that President-elect Donald Trump may have changed his mind on EV tax credits. Markets are now expecting Trump to allow consumers to take advantage of EV tax credits, even if those may not be applicable to Lucid. The high-end luxury EV maker’s cars are too expensive to be eligible for the existing EV tax credit system. Still, shares rallied together with other EV stocks.
• Rivian RIVN, a manufacturer of electric pickup trucks, also jumped on the day, adding 11% to its valuation. The startup company was also buoyed higher by a new Buy rating from Wall Street — Benchmark analyst Mickey Legg slapped a price target of $18 a share, some $3.55 away from Monday’s closing price. Rivian boasts a market cap of about $15 billion or roughly twice that of Lucid, currently sitting at $7.7 billion.
• Adding to the string of positive news, Lucid CEO Peter Rawlinson (former engineering boss at Tesla) announced the official start of production of Lucid’s SUV model, Gravity. The company’s second model, after the Air sedan, the Gravity SUV seeks to expand the consumer base and help the languishing share price. More updates by Lucid coming on December 11 when the company will participate in a “fireside chat” at the Nasdaq Investor Conference in London.