Prediction: Lucid Group Will Soar in 2026. Here's 1 Reason Why.

Source The Motley Fool

It's been a mixed year for Lucid Group (NASDAQ: LCID). Shares of this electric vehicle (EV) stock have fallen alongside competitors including Tesla and Rivian Automotive, yet analyst expectations for Lucid's sales growth have surged. Right now, Wall Street experts expect the company to nearly double sales in 2025.

This could be your opportunity to buy into a high-growth stock at a discount. But if you're really looking for big growth potential, pay attention to Lucid's growth prospects starting in 2026.

Where to invest $1,000 right now? Our analyst team just revealed what they believe are the 10 best stocks to buy right now. Continue »

This one thing will put Lucid's growth on steroids

Lucid stock is down 17% so far in 2025, and shares are trading at just 7.4 times trailing sales. That's a discount to competitors like Tesla, but a premium to other EV makers like Rivian. Lucid's relative premium to Rivian makes a lot of sense. The recent introduction of Lucid's Gravity SUV platform is expected to help sales nearly double this year. Rivian, meanwhile, isn't expected to release any new models this year.

Thanks to this expected sales growth, Lucid stock trades at just 5 times forward sales. But looking even further ahead, there's reason to believe that Lucid will hit another sales inflection point in 2026 due to one major event.

RIVN PS Ratio Chart

RIVN PS Ratio data by YCharts

Last year, it was revealed that Lucid expects to begin production on three new more affordable models, all of which should cost under $50,000. At the time, this timeline seemed aggressive, especially considering its Gravity SUV had yet to be released. Last week, however, Derek Jenkins, a senior vice president at Lucid, confirmed that the company is currently "on track" to begin production of an affordable SUV model in 2026, though he noted that there are "a lot of crazy things going on in the world that can affect that [timeline]."

This new Lucid model is expected to compete with Tesla's existing Model Y and Rivian's anticipated R2 midsize SUV. If the company's timeline remains intact, it could see another huge spike in sales growth next year.

Should you invest $1,000 in Lucid Group right now?

Before you buy stock in Lucid Group, consider this:

The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Lucid Group wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.

Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $594,046!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $680,390!*

Now, it’s worth noting Stock Advisor’s total average return is 872% — a market-crushing outperformance compared to 160% for the S&P 500. Don’t miss out on the latest top 10 list, available when you join Stock Advisor.

See the 10 stocks »

*Stock Advisor returns as of April 21, 2025

Ryan Vanzo has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Tesla. The Motley Fool has a disclosure policy.

Disclaimer: For information purposes only. Past performance is not indicative of future results.
placeholder
JPMorgan Raises S&P 500 Target; Can AI Sector Continue to Drive US Stocks?JPMorgan Chase has raised its year-end target for the S&P 500, noting that the core driver is not a simple recovery in sentiment, but rather upward earnings revisions for AI-related techn
Author  TradingKey
12 hours ago
JPMorgan Chase has raised its year-end target for the S&P 500, noting that the core driver is not a simple recovery in sentiment, but rather upward earnings revisions for AI-related techn
placeholder
Australian Dollar receives support after Trump extends ceasefire with IranAUD/USD pares its recent losses from the previous day, trading around 0.7160 during the Asian hours on Wednesday.
Author  FXStreet
21 hours ago
AUD/USD pares its recent losses from the previous day, trading around 0.7160 during the Asian hours on Wednesday.
placeholder
Tesla Q1 2026 Earnings Preview: 50,000-Unit Inventory Overhang, Energy Storage Halved, 5 Core Metrics Long-Term Investors Should Really WatchIntroductionTesla (TSLA) is scheduled to release its first-quarter 2026 earnings report after the U.S. market close on April 22. The Non-GAAP EPS consensus from Tesla's official compilation (comprisin
Author  TradingKey
Yesterday 10: 19
IntroductionTesla (TSLA) is scheduled to release its first-quarter 2026 earnings report after the U.S. market close on April 22. The Non-GAAP EPS consensus from Tesla's official compilation (comprisin
placeholder
Gold holds steady above $4,800 amid US-Iran ceasefire uncertainty Gold price (XAU/USD) trades on a flat note near $4,825 during the early Asian session on Tuesday. The precious metal steadies amid renewed geopolitical instability in the Middle East.  
Author  FXStreet
Yesterday 01: 24
Gold price (XAU/USD) trades on a flat note near $4,825 during the early Asian session on Tuesday. The precious metal steadies amid renewed geopolitical instability in the Middle East.  
placeholder
How Will the U.S.-Iran Situation Evolve? What Is Behind the Nasdaq’s Record High?The conflict in the Middle East escalated further over the weekend. Optimistic signals released by Trump were refuted by the Iranian side. According to Reuters, the U.S. military seized a
Author  TradingKey
Apr 20, Mon
The conflict in the Middle East escalated further over the weekend. Optimistic signals released by Trump were refuted by the Iranian side. According to Reuters, the U.S. military seized a
goTop
quote