Lucid Group's Short Interest Declines, But Remains High Compared to Peers

Lucid Group's (LCID) short percent of float has decreased by 8.66% since its last report, with 369.01 million shares sold short, representing 44.09% of available shares. The short interest is considered high compared to its peer group average of 6.58%. The number of days required to cover short positions is 1.76.

Lucid Group Inc. (LCID) has seen a significant decrease in its short interest, with the short percent of float dropping by 8.66% since the last report. As of the latest data, 369.01 million shares are sold short, representing 44.09% of the available shares. This high short interest, compared to the peer group average of 6.58%, indicates that traders have been more bearish on the company's stock [2].

The decrease in short interest suggests that investors have become less pessimistic about Lucid Group's prospects. Traders would need approximately 1.76 days to cover their short positions, based on the company's trading volume [2]. This metric, known as the days to cover, is an indicator of how quickly traders could buy back shares to close their short positions.

The recent partnership between Lucid Group, Uber Technologies Inc., and Nuro Inc. to launch a robotaxi fleet has been a significant development for the company. Uber's investment in Lucid, amounting to $300 million, will be used to upgrade the company's assembly line to integrate Nuro's autonomous driving technology into Lucid's Gravity SUVs [1]. This deal underscores Lucid's strategic positioning in the electric vehicle (EV) market and its potential for growth.

Despite the decrease in short interest, investors should remain cautious. The high short interest indicates that there is still significant bearish sentiment towards the stock. Moreover, the company's plans to expand production and deliveries, with an estimated 20,000 vehicles in 2025, may face challenges as it scales up operations [1].

In conclusion, while the decrease in Lucid Group's short interest suggests a shift in market sentiment, investors should continue to monitor the company's progress and the broader EV market trends.

References:
[1] https://thebusinessdownload.com/uber-plans-fleet-of-20000-robotaxis-in-deal-with-lucid-nuro/
[2] https://www.benzinga.com/insights/short-sellers/25/08/47065615/what-does-the-market-think-about-lucid-group