Making good progress - Feb 2024 sales

[ikonn]

Depends on stock price I guess. If sales improve considerably, Gravity release, new partnership maybe, midsize reveal, Feds cutting rates can bump up stock value significantly, suspect dilution or maybe more debt taken on after all these events. If stock goes to 5-6, might come back down to 3-4. Or if they dilute at 4, it goes to 2. Who knows?

If you are holding 5-10 years, wouldn’t make much difference.

Based on what they have said, it seems that they will require additional capital inputs soon. Whether it’s from PIF or elsewhere, any additional stock Issuance will result in dilution. It’s not just $5 going to $3, it could be $2 going to $1. But I agree, if they can hold for 10 years and if they can get to $100, then the dilution may not make a big difference if you bought low. A lot of if’s though.

 

[no gas]

Based on what they have said, it seems that they will require additional capital inputs soon. Whether it’s from PIF or elsewhere, any additional stock Issuance will result in dilution. It’s not just $5 going to $3, it could be $2 going to $1. But I agree, if they can hold for 10 years and if they can get to $100, then the dilution may not make a big difference if you bought low. A lot of if’s though.

With threat of dilution, stock may never appreciate in the near term, that is where the problem is.

 

[no gas]

Perfectly summarized.

#1 will be linked to the general economy and current affordability issue. Maybe this improves beginning in 2024, but it will be a slow climb.

#2 will show itself late this year, maybe a bump upon first orders, but realistically will be seen only upon deliveries in 2025.

#3 is what they should have done before Gravity but instead will happen in 2026. Their strategic product planning got a major hit with the world economic challenges from Covid, wars and politics. Launches from Porsche, Audi, BMW, Genesis, +, etc in the mid sized SUV market will take a lot of first movers in that segment. Not even mentioning the electric elephant in the room that begins with T and ends with A.

All this to say, it’s going to be a tough road for LCID unless they can start showing better results and faster. My fingers are crossed for them.

Lower priced is here already- The Pure. They are actually selling quite well- 600 plus units in Feb in just the US

 

[andrew61]

So that would be a ~7,200 cars a year rate in the US -- anyone know where and how many they are selling abroad? Manufacturing is slowly ramping up but are they selling them in Saudia Arabia yet? It's supposed to be 10k cars a year there, but I'm not sure by when.

FYI, at Milbrea, the sales folks reported much higher sales in the last 2 months. But it was a Saturday, and the whole sales team was standing around with 4 demo cars lined up on the street. No idea how to translate that into hard data.

 

[ADSTEIN]

They probably want to get rid of inventory cars, get more cars on the roads asap, crush all the talk about going insolvent- they have a few thousand cars lying around, get those into customers hands at any cost this quarter.

I know that I love my car and am evangelizing non stop. I think getting a critical mass of these on the road can have a major knock on effect for future sales.

 

[ADSTEIN]

I know that I love my car and am evangelizing non stop. I think getting a critical mass of these on the road can have a major knock on effect for future sales.

By the way, the delivery center in Natick was really busy last Friday, I think they were delivering 5 cars that day and they all seemed very busy.

 

[new owner]

I live near Natick
Service is first rate
Spotted a White Air in Needham a few days ago