Lucid Is Now Up 33% in a Month, Easily Beating Tesla and Rivian. What Will It Take to Get LCID Stock Back to $10?
Lucid Is Now Up 33% in a Month, Easily Beating Tesla and Rivian. What Will It Take to Get LCID Stock Back to $10?
David Moadel Tue, July 28, 2026 at 7:07 PM UTC
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Lucid Motors Inc.Quick Read -
Saido Prince Alwaleed's $129 million passive stake in Lucid may have triggered short-squeeze mechanics, lifting LCID 20% in a day and 33% in a month, thereby outpacing Lucid's EV peers.
TSLA dropped 19% and RIVN gained just 5% over the past month, confirming Lucid's surge is a single-stock story, not a sector trend.
Reclaiming $10 hinges on Gravity SUV volumes and robotaxi execution, but Polymarket implies a 40% chance of Lucid filing for bankruptcy before 2027.
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Shares of Lucid (NASDAQ:LCID) are up 20% to $7.81 in Tuesday afternoon trading, having jumped as much as 25% intraday, after Saudi Prince Alwaleed bin Talal disclosed a 5% passive stake in the electric-vehicle maker. LCID stock is now up 33% over the past month.
The rally easily beats EV peers. Tesla (NASDAQ:TSLA) stock is down 19% over the same stretch, and Rivian Automotive (NASDAQ:RIVN) stock is up 5% over the past month. The question for traders is whether LCID stock can build on the pop and reclaim the $10 handle it lost in February.
Alwaleed's 5% Stake Sparks a Squeeze
In a Schedule 13G filed July 28, Prince Alwaleed bin Talal disclosed ownership of 19,513,000 Class A shares of Lucid, or 5% of shares outstanding, a stake worth $129.5 million. The filing is passive, marked "not to influence control," with the shares reportedly bought during the recent price decline.
The stake comes from Alwaleed personally through Kingdom Holding Company, separate from Saudi Arabia's Public Investment Fund or PIF. On the fundamentals alone, a 5% passive filing shouldn't move Lucid shares this much on its own. The size of today's pop in LCID stock may reflect short-squeeze mechanics: heavy short interest, a low nominal price after last August's 1-for-10 reverse split, and a beaten-down name that traders had been leaning against.
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The disclosure stacks another deep-pocketed Saudi backer on an already large backstop. The PIF has invested $9.5 billion in Lucid since 2018, a PIF affiliate took $550 million of convertible preferred in April, and Lucid recently drew $800 million more from a Saudi-backed facility. Uber Technologies (NYSE:UBER) also bought 11.5% of Lucid earlier this year in a $500 million robotaxi deal built around the Gravity SUV.
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Peers Lag as the EV Trade Wobbles
The rally lands against a soft backdrop for the sector. TSLA stock is nursing a steep monthly loss on margin worries, while RIVN stock has ticked up modestly ahead of its R2 launch. The Global X Autonomous & Electric Vehicles ETF (NASDAQ:DRIV) is down 12% over the past month, making Lucid's run a single-stock story rather than a sector rotation.
The DRIV ETF is a narrow thematic fund holding Tesla, Lucid, and Rivian alongside autonomy chips and battery names. The fund's concentration cuts both ways, amplifying returns when EV sentiment turns and leaving the fund exposed to single-name blow-ups. Investors using DRIV as an EV proxy should consider keeping their position sizes modest given the volatility.
What to Watch: August 4 Earnings and the Path to $10
Getting LCID stock back to $10 is less about squeeze mechanics and more about execution. That means Gravity volumes, the Midsize platform launch, and the Uber/Nuro robotaxi ramp, all delivered while trimming cash burn. Analyst estimates suggest Lucid may need $5 billion or more in fresh capital over the next few years, which flags real dilution risk even with the Saudi backstop intact.
The next real test lands after the close on August 4, when Lucid reports its Q2 2026 earnings. The Street is skeptical, with a consensus "Reduce" rating and an average price target of $9.56, essentially at the top of the $10 goalpost. A securities fraud class action tied to an alleged 29-day Gravity delivery halt is also live, with the lead-plaintiff deadline hitting today.
The bull case is a reinforced Saudi backstop, robotaxi optionality with Uber and Nuro, and genuinely competitive products in the Air sedan and Gravity SUV. The bear case is also worth noting, though: Lucid burned $3.8 billion in negative free cash flow in 2025, ended Q4 2025 with $997.83 million in cash, and faces a Polymarket-implied 39.9% chance of a bankruptcy announcement before 2027. Momentum can carry LCID stock further, but most likely, the fundamentals will decide whether $10 is in the cards.
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Contact editorial@247wallst.com for any questions or corrections.
Source: “AOL Money”
