Lucid (LCID:NSD), an electric vehicle manufacturer, is set to release its Q4 financial report on February 22, with analysts predicting a 55% increase in revenue due to higher delivery volumes, but rising costs of production are expected to keep profitability under pressure, with an adjusted loss of $0.41 per share forecast for Q4. Lucid exceeded its 2022 production guidance by delivering 7,180 vehicles, although it continues to face supply chain and competition challenges, and the Lucid stock forecast shows limited upside potential despite its recovery in 2023.
On the positive side, Lucid stock has low volatility and a high market capitalization, indicating stability. However, on the negative side, the stock is overpriced compared to book value, is delivering poor risk-adjusted returns, has negative cash flow and negative free cash flow in the most recent four quarters, and has shown below-median revenue and earnings growth compared to its sector in the previous five years. Additionally, the company is highly leveraged, but this may be due to its aggressive growth strategy.