Lucid + Uber robotaxi deal could mark the start of a new chapter

Lucid has been under pressure for a long time but the picture looks more interesting now.

1. Uber just invested 300 million dollars to partner with Lucid on a 20,000 unit robotaxi fleet built on the Gravity SUV platform. This is a huge validation of both Gravity and Lucid’s tech, with the first launch planned in the US next year
2. Saudi PIF backing is still solid which means financial support is not going away
3. The Gravity SUV launch on the consumer side adds another growth angle beyond the Air sedan
4. EV names often move together. Any rally in Tesla, Rivian or the sector can give Lucid a sympathy lift
5. Cost cutting has started to show up in the financials and management is working on margins
6. The reverse split has already played out and most weak holders are gone which reduces negative sentiment
7. Lucid is no longer trading like a penny stock which means bigger institutions can step in
8. Central bank policy leaning more dovish supports high growth names like Lucid by lowering funding pressure

Lucid still has risks with burn and execution but Uber’s endorsement adds credibility and institutions may look at the stock differently now.

// also posted in another subreddit