Lucid Stock: Performance and Development in Global and Saudi Markets 2025

Lucid Group, Inc. is an American company founded in 2007, specializing in the manufacturing of luxury electric vehicles, and its shares were listed on the NASDAQ stock exchange in 2021. Lucid has distinguished itself since its inception by focusing on delivering high-quality, high-performance electric vehicles, such as the award-winning 'Lucid Air'. The Saudi interest in the company is highlighted by the investment of the Saudi Public Investment Fund, which is one of the largest shareholders in Lucid, and prominent Saudi officials participate in its board of directors, such as Turki Al-Nuwaiser, the former CEO of Aramco. This investment is part of the Kingdom's shift towards clean energy and sustainable technologies under Vision 2030, as Saudi Arabia seeks to build a local electric vehicle industry and establish global strategic partnerships. This connection makes Lucid stock a focal point for Saudi investors, particularly those interested in global stocks and advanced technology companies.

Lucid stock is listed under the symbol LCID on the NASDAQ stock exchange and is not yet traded in the Saudi financial market (Tadawul). However, the stock maintains a strong presence in financial discussions in the Kingdom due to the Saudi Public Investment Fund's contribution and the Kingdom's role in supporting the electric vehicle sector. Saudi investors wishing to buy Lucid stock can open an international trading account with a licensed broker that provides access to the U.S. market. Sector-wise, Lucid is classified under the 'Automobile and Truck Manufacturers' sector, specifically in the luxury electric vehicle category. This sector is experiencing steady global growth, driven by environmental shifts and supportive government policies for clean energy, which is reflected in the trading volume and interest in Lucid stock even in markets where it is not officially listed.

Lucid stock has witnessed several significant financial developments during 2025. The stock price reached approximately $2.92 as of the close on July 25, 2025, equivalent to about 10.95 Saudi Riyals per share. The company's market capitalization was around $8.91 billion (approximately 33.4 billion Saudi Riyals), a figure that reflects the company's position as an emerging player in the electric vehicle sector. Lucid has not yet achieved operational profitability, with an estimated price-to-earnings (P/E) ratio for 2025 of about -3.19 times, indicating continued operational losses due to expansion and intensive investment in research and development. The dividend yield is zero, as Lucid does not distribute cash dividends and reinvests most of its revenues in growth and development. In terms of operational performance, the company announced the production of 9,029 vehicles in 2024, with revenues for the first quarter of 2025 reaching approximately $235 million, showing a 58% increase in vehicle shipments compared to the previous year.

Lucid operates in the luxury electric vehicle sector, which is characterized by intense competition among major global companies and startups. This sector is marked by a high pace of innovation, offering advanced technological solutions in areas such as batteries, performance, and smart systems. Competition is fierce with companies like Tesla, BYD, Li Auto, Xpeng, NIO, and Rivian, among others. Tesla leads the scene with a market capitalization exceeding one trillion dollars, while Lucid aims to strengthen its position by focusing on luxury vehicles and expanding its production lines. The sector's importance is increasing in Saudi Arabia, where the government supports clean energy projects and invests in electric vehicle infrastructure. This framework makes Lucid a significant player in the sector despite the substantial gap with its main competitors.

Lucid faces stiff competition from leading electric vehicle companies worldwide. The American Tesla is the biggest competitor, excelling in production volume, global network, and brand value. The Chinese BYD is one of the largest electric vehicle manufacturers globally, while companies like Rivian, NIO, Xpeng, and Li Auto compete for increasing market shares in America, China, and Europe. These companies are characterized by massive production capabilities and investments in research and development, posing significant challenges for Lucid. In Saudi Arabia, there are currently no listed electric vehicle companies, making global competition the primary benchmark for comparing Lucid's performance. Competitors' strategies vary between focusing on luxury markets, as in the case of Lucid and Tesla, or offering competitively priced electric vehicles as seen with Chinese companies.

Lucid has experienced several important developments during 2024 and 2025: it recorded strong growth in vehicle shipments, with first-quarter deliveries in 2025 increasing by 58% compared to the same period the previous year, and revenues reached $235 million. On the management front, founder and former CEO Peter Rawlinson resigned in February 2025, with Mark Winterkorn appointed as interim CEO in a move aimed at enhancing profitability efforts. The company is also preparing to launch the luxury Gravity SUV in the second half of 2025, which is expected to expand its customer base. Lucid has entered into strategic agreements with American companies to strengthen battery and mineral supply chains and announced the possibility of using its vehicles on Tesla's fast-charging network, enhancing its appeal to customers. The company is also considering a reverse stock split of 1:10 as a step to improve its stock image in the markets.

Lucid's financial and operational results for the fourth quarter of 2024 and the first quarter of 2025 showed an increase in production and sales volume: the company's annual production rose to 9,029 vehicles in 2024, with 3,109 vehicles shipped in the first quarter of 2025. Quarterly revenues reached $235 million, reflecting significant annual growth. However, the company continues to record operational losses due to high expansion expenses and development costs, a common trait in emerging electric vehicle companies. The current strategy focuses on improving operational efficiency and increasing production to reach financial breakeven in the future. The company's direction to launch new models, such as the Gravity SUV, aims to expand targeted segments and increase revenues.

The Saudi Public Investment Fund (PIF) is one of the largest shareholders in Lucid, granting the company a strategic dimension in both the Saudi and global markets. Representatives from the fund and prominent Saudi officials participate in Lucid's board of directors, enhancing opportunities for future collaboration and partnerships between the company and the Kingdom. This investment reflects Saudi Arabia's direction towards supporting green industries and advanced technologies, in line with Saudi Vision 2030 aimed at diversifying the economy and reducing oil dependency. This role is expected to continue strengthening Lucid's position in the Saudi market and potentially support future projects for assembling or manufacturing electric vehicles locally.

Lucid is currently focused on expanding its production lines and launching new models. One of the main plans is the preparation for the launch of the luxury Gravity SUV, targeting a new customer segment in global markets. This model is expected to enhance the company's competitiveness in the electric SUV market, which is witnessing increasing demand. Additionally, Lucid is working on developing battery technologies and improving infrastructure to support charging operations, benefiting from its partnerships with mining and energy companies. These strategies are part of the company's vision to transition from a startup to a major production company capable of achieving sustainable operational profitability.

Despite the rapid growth in Lucid's production and sales, the company faces several key challenges: intense competition from larger global companies, difficulty achieving short-term profitability due to high development costs, fluctuations in raw material prices, and reliance on complex supply chains. Additionally, changes in regulatory or economic policies may impact global demand for electric vehicles. Furthermore, the reverse stock split being considered by the company may be interpreted by some investors as a sign of weakness in the stock market. Interested parties in Lucid stock must understand these risks and study them carefully within their overall investment strategy.

Since Lucid stock is not listed on the Saudi financial market, Saudi investors need to open an international trading account with a licensed bank or brokerage firm that allows trading on U.S. exchanges like NASDAQ. This requires submitting official documents and identity verification, and some entities may impose minimum balance requirements. Trading international stocks necessitates an understanding of currency risks, tax differences, and local regulations governing foreign investment. It is always advisable to review relevant Saudi laws and ensure dealings with accredited and officially licensed brokers, as well as consulting a specialized financial advisor before proceeding with international stock investments.

The ruling on the permissibility of investing in Lucid stock varies according to the standards of Sharia bodies and fatwa authorities. Most fatwas classify Lucid as a company engaged in permissible activities (electric vehicle manufacturing) and do not operate in prohibited sectors such as alcoholic beverages or gambling. Some Sharia authorities have reviewed its financial data and found it compliant with Sharia standards in terms of activity and financing. However, the acceptable level of debt and interest may vary according to the jurisprudential school. Investors wishing to adhere to Sharia rulings are advised to consult their Sharia advisor or specialized Sharia filters to verify the stock's status during the investment period.

The electric vehicle sector is poised for significant growth in the coming years, driven by supportive government policies, advancements in battery technologies, and increasing consumer awareness of environmental issues. Global market reports predict a rise in annual demand for electric vehicles and an increasing share of these vehicles in the markets of America, China, and Europe. For Lucid, continued innovation and capitalizing on opportunities in emerging markets, especially the Gulf region and Saudi Arabia, could enhance its position in the sector. However, challenges such as intense competition and supply chain risks must be considered, as they may affect growth rates and profitability in the future.