Why Lucid Stock Plunged 15% Today
For the second day in a row this week, electric vehicle (EV) stock Lucid Group (NASDAQ: LCID) crashed as it came under the fire of several analysts after a heady rally in recent days. Lucid shares were trading down 15.8% as of 12:55 p.m. ET today, extending its losses from the day before.
Lucid became the talking point in the EV industry in recent weeks after the stock more than doubled in value since the start of October before hitting the brakes yesterday. Remarkably, investor interest in the stock ran so high that Lucid shares jumped by double digits on Tuesday despite the company's third-quarter numbers falling short of estimates.
What goes up must come down, and given Lucid's jaw-dropping recent run-up, some amount of profit-taking was due. Lucid, though, isn't the only stock seeing heavy selling pressure -- other EV stocks that were hot sellers barely weeks, even days ago, are also feeling the heat. Nio, for example, is down more than 10% so far this week, and the latest kid on the EV block, Rivian Automotive, has reversed course just as swiftly as it soared in the days following its debut on the stock market on Nov. 10.
Source Fool.com
