What happened
While shares of many growth stocks were moving higher today, the stock of electric vehicle (EV) maker Lucid Group (LCID 6.71%) outpaced the general market move. At the day's highs, Lucid stock was 8.7% above Tuesday's closing price. The market gave back some of its gains on the day and so did Lucid stock. As of 3 p.m. ET, its shares were still up 7.2%, however.
So what
Some of today's jump probably represents more of a recovery from recent drops. But the jump may also be due to a review of the company's Lucid Air Dream model by automotive writer Lawrence Ulrich published by Forbes. Ulrich gave the car rave reviews, calling it "a landmark of the coming electric age."
Image source: Lucid Group.
Now what
Lucid stock has trended down over the past month for various reasons. Most of the pessimism came after the company cited supply chain challenges when it reduced its 2022 production estimates by as much as 40%. Another negative catalyst came earlier this week with the disclosure that CEO Peter Rawlinson sold nearly 8 million Lucid shares. But that wasn't representative of his thoughts on the company as the share sale was planned many months prior.
NASDAQ: LCID
Key Data Points
Today's bounce comes a day after the company received some positive publicity from the Air Dream edition review in Forbes. In a summary statement, auto writer Ulrich wrote the car is a "breathtaking achievement in electric design, tech and performance--and one of the most significant new cars for this coming electric age."
It never hurts to get some free advertising, and anyone in the market for an EV reading the Forbes review would undoubtedly look closer at getting a Lucid Air. Add in a nearly 20% decline over the last month, and it isn't surprising to see the stock get a boost today.
