RBC Capital Markets analyst Tom Narayan initiated coverage on Lucid Group Inc (NASDAQ:LCID) at Sector Perform rating with a price target of $6.
Given its competitive offering, the analyst believes Lucid’s technology is 12%-23% more efficient than its nearest peer Tesla Inc (NASDAQ:TSLA), and at least 30% better than all other OEMs.
The analyst notes that despite compelling product offerings, Lucid’s brand awareness is low and sees modest momentum behind demand acceleration.
Narayan cites Lucid’s long-term strategic technology partnership with the British car manufacturer Aston Martin as a proof point for future licensing deals.
Also Read: Lucid Eyes Expansion Into Chinese Market, Confirms Plans For Mass-Market EV Models
The analyst estimates revenue and adjusted EBITDA loss of $769.8 million and $(2,754.2) million for FY23, $1,352.6 million and $(2,256.1) million for FY24 and $2,294.9 million and $(1,180.5) million for FY25.
Price Action: LCID shares are trading lower by 2.67% at $5.84 on the last check Friday.
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