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Is Lucid Ready to Deliver on Its 2026 Midsize EV Launch?

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Key Takeaways

  • Lucid plans to unveil its midsize EV platform next year, with production set for late 2026.
  • The first model will debut the Atlas Powertrain, promising high efficiency at lower cost.
  • Models will start near $50K, including a midsize SUV and sedan.

Lucid Group’s (LCID - Free Report) midsize platform, which is designed to underpin a more affordable line of vehicles compared to its luxury-centric models like the Air and Gravity, presents a key opportunity for the company to expand its addressable market, strengthen manufacturing leverage and deliver a broader value proposition to customers without compromising performance or efficiency. The company is planning to bring the midsize platform to market with greater agility, reduced unit costs and shorter lead times.

Production of the midsize platform is scheduled to begin in late 2026, and the official unveiling is planned for next year. Deliveries are expected to ramp up throughout 2027. While recently acquired Nikola facilities have enhanced Lucid’s capabilities, these additions will not affect the production timeline for the company’s midsize vehicles.

Lucid’s next-generation Atlas Powertrain is designed to match or surpass current efficiency levels at a significantly lower cost, and the company plans to debut it in the midsize platform’s first vehicle. Lucid concluded the second quarter with $4.86 billion in total liquidity, which it anticipates will sustain funding until the second half of 2026, when production of its midsize platform is slated to begin. The platform will feature at least three top hats, including a midsize SUV and a sedan, with starting prices around $50,000. LCID carries a Zacks Rank #3 (Hold) at present. 

You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Affordable Models by Other Automakers

Tesla (TSLA - Free Report) recently confirmed that its upcoming affordable electric car will simply be a lower-cost version of the Model Y. The first unit was built in June, and the official launch is planned for later this year. Aimed at broadening the vehicle’s appeal, the more budget-friendly Tesla Model Y is intended to reach a wider customer base and is set to hit the market in the fourth quarter.

Rivian Automotive, Inc. (RIVN - Free Report) introduced its R2 model in March 2024. R2 is a compact electric SUV comparable in size to the Tesla Model Y and has a target starting price of about $45,000 before incentives. Designed to be smaller, more pedestrian-friendly and more affordable, the Rivian R2 also features a right-rear charging door optimized for curbside charging. Production R2 is scheduled to begin in the first half of 2026, initially taking place at Rivian’s existing plant in Normal, IL.

Lucid’s Price Performance, Valuation and Estimates  

LCID has underperformed the Zacks Automotive - Domestic industry year to date. CVNA shares have lost 24.8% compared with the industry’s decline of 14.4%.

YTD Price Performance

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Image Source: Zacks Investment Research

From a valuation perspective, Lucid appears overvalued. Going by its price/sales ratio, the company is trading at a forward sales multiple of 3.02, higher than its industry’s 2.72.

Zacks Investment Research
Image Source: Zacks Investment Research

EPS Estimates Revision

The Zacks Consensus Estimate for 2025 EPS has moved down 4 cents in the past seven days. The Zacks Consensus Estimate for 2026 EPS has moved down a penny in the past 30 days. 

Zacks Investment Research
Image Source: Zacks Investment Research


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