What happened

The stocks of electric vehicle (EV) makers Lucid Group (LCID -0.94%), Lordstown Motors (RIDE -3.45%), and Nikola (NKLA 5.39%) all plunged on Monday. At the lows of the day, Lucid and Nikola stocks were down 10% and 12.9%, respectively. But Lordstown had plunged as much as 18.8% after it reported its first-quarter update today. As of 2:09 p.m. ET, Lucid and Lordstown stocks had come off those lows, and were down 7.7% and 5.5%, respectively. Nikola was trading at its low of the day, down 12.9% at that time. 

So what

The stocks were down along with other growth and technology names in the Nasdaq Composite index. And while Lordstown gave investors new information to chew on today, investors were likely still digesting the first-quarter reports from Lucid and Nikola that came late last week. 

Red stock graph with arrows heading down.

Image source: Getty Images.

Now what

Last Thursday Lucid reported its first business quarter with meaningful revenue as it delivered 360 vehicles. But even though it brought in $57.7 million, it also said it would be raising prices on new vehicles beginning with June orders to deal with rising raw material costs. It also held to its previously reduced estimate for 2022 vehicle production of 12,000 to 14,000 of its Air electric sedans

Both Lucid and Nikola told investors that demand for their EV products remains strong, even with the companies targeting very different customers. Both also said they are on track for their relative production goals for 2022. Nikola expects to ship between 300 and 500 of its battery electric semitrucks this year. That would bring in revenue of between $90 million and $150 million, according to the company. 

Lordstown also said it is seeing strong interest for its Endurance pickup trucks from fleet customers. It estimates it will produce 500 units this year, with commercial deliveries beginning in the fourth quarter. But the outsize early drop in Lordstown shares today likely came due to another comment from the company. 

In its quarterly filing, Lordstown informed investors that its current material costs to build the Endurance are "well above" the planned selling price. The company added, "While we expect to achieve cost improvements over time, we do not anticipate reaching a positive gross margin for the foreseeable future."

That's not a recipe for a winning investment, and its shares are reflecting that today.