What happened

Shares of electric vehicle maker Lucid Group (LCID -5.88%) rose after a bullish note from a prominent Wall Street analyst, and after the company confirmed the top-of-the-line version of its Air sedan will be the first electric vehicle with an EPA-rated range of more than 500 miles.

As of 1:30 p.m. EDT, Lucid's shares were up about 5.9% from Wednesday's closing price.

So what

Bank of America's well-regarded auto analyst, John Murphy, initiated coverage of Lucid with a buy rating and a price target of $30. 

In a Wednesday note, Murphy -- who isn't generally given to hyperbole -- said that Lucid is the "Tesla/Ferrari" of new electric-vehicle makers, as well as "one of the most legitimate start-up EV automakers." He sees the company's veteran management team, innovative technology that has been validated in the Formula E racing series, nearly complete factory, and attractive Air luxury sedan as factors that help it stand out in a crowded field of new EV entrants.

A bronze-colored Lucid Air, a sleek electric luxury-sports sedan.

Lucid is expected to begin deliveries of its Air electric luxury sedan before the end of 2021. Image source: Lucid Group.

While Murphy admitted the multiples he used to establish the $30 price target are somewhat more aggressive than Tesla's early multiples, he thinks his valuation of the company still represents a "notable discount" versus Tesla's recent multiples on a forward five-year basis.

Now what

Separately, Lucid said on Thursday that its Air sedan has earned the best-yet range ratings from the U.S. Environmental Protection Agency, confirming that the company has delivered on a key set of promises for the luxury sedan.  

All versions of the Air have been rated at more than 450 miles of range, Lucid said; the top-line Dream Edition Range, which is optimized for longer range, has an EPA-rated range of 520 miles.

Lucid will hold a series of events at its Arizona factory for electric-vehicle investors during the week of Sept. 27. It's expected to begin ramping up production of the Air shortly thereafter.