Lucid Stock Rises on Tudor’s $1.36 Billion Investment

TLDR

• Tudor Investment Corp acquired 57.25 million shares of LCID for approximately $1.36 billion, securing a 17.66% interest.
• Citi began coverage with a Buy recommendation and a $17 price objective—marking only the second bullish rating for LCID on Wall Street.
• Citi forecasts Lucid’s revenue to climb from $1.4 billion in 2025 to $9.2 billion by 2028, fueled by upcoming affordable models.
• The general Wall Street consensus remains “Reduce” with a mean price target of $13.14, due to worries regarding debt and cash consumption.
• LCID shares started the day at $9.95, significantly lower than its 12-month peak of $33.70 and its 200-day moving average of $14.54.

(SeaPRwire) –   Lucid Group ($LCID) is receiving significant endorsements this week, though the broader market remains hesitant.

Lucid Group, Inc., LCID

During the third quarter, Tudor Investment Corp acquired 57.25 million LCID shares, a position valued at roughly $1.36 billion. This purchase gives the firm a 17.66% stake, establishing it as Lucid’s top institutional shareholder. LCID now accounts for approximately 0.8% of Tudor’s total holdings and ranks as its 19th-largest position.

Other firms are also increasing their stakes. Rockefeller Capital Management boosted its position by 11.1% in Q2, while HBK Investments, Highbridge Capital Management, and Y Intercept Hong Kong established new positions earlier this year. Institutional ownership has reached approximately 75.17%.

Citi launched coverage of Lucid on Thursday morning, issuing a Buy rating and a $17 price target. Analyst Michael Ward highlighted the Uber partnership, the upcoming Cosmos release, and the acceleration of the Gravity model as primary catalysts. The firm suggests these developments could lead Lucid toward a breakeven point.

Ward noted a demanding production schedule: the Gravity launch concluded in Q4 2025, Cosmos manufacturing is slated for Q4 2026, and the Uber robotaxi is expected to begin commercial use by the end of the year. Additionally, Lucid intends to introduce monthly autonomous driving subscriptions in 2027 and expand its European presence in 2026.

Citi’s Revenue Forecast

Citi’s financial projections are bold. Following a reported $1.4 billion in revenue for 2025, the bank anticipates $2.4 billion in 2026, $5.9 billion in 2027, and $9.2 billion by 2028. This growth trajectory depends on the successful rollout of the company’s more affordable midsize vehicle line.

Furthermore, Citi indicated that Lucid possesses sufficient liquidity to last through the second half of 2027. The bank mentioned that any future capital raises might resolve market uncertainty and allow investors to focus on the company’s technology and products.

It is worth noting that Citi’s Buy rating represents only the second bullish outlook for LCID from Wall Street analysts, indicating limited support for a stock currently trading below most price targets.

Where the Street Stands

The general sentiment among analysts is more guarded. In December, Morgan Stanley lowered its rating on LCID to “Underweight” and dropped its target from $30 to $10. Cantor Fitzgerald assigned a “Neutral” rating in February, lowering its target from $21 to $14. During the same month, Royal Bank of Canada maintained a “Sector Perform” rating with a $10 target. In early March, Zacks upgraded the stock to “Hold” from “Strong Sell.”

The collective consensus is currently “Reduce,” with a mean price target of $13.14. While this is higher than the current trading price, the overall trend is negative. The stock currently has two Buy ratings, five Hold ratings, and three Sell ratings.

Regarding its product pipeline, Lucid has detailed plans for three upcoming models: the Lucid Earth, the Lucid Cosmos, and a Lunar robotaxi concept. These will be built on a midsize platform with a starting price target under $50,000.

LCID opened at $9.95 on Thursday. Its 50-day moving average stands at $10.38, while the 200-day average is $14.54. Over the last year, the stock has fluctuated between a low of $9.12 and a high of $33.70. The firm has a market capitalization of $3.26 billion and a debt-to-equity ratio of 3.00.

Following the initiation of coverage by Citi, shares rose 1.4% during Thursday morning trading.