Lucid shares tumble as RBC slashes price target and EV maker draws $400 million from PIF credit line

RBC Capital Markets cut its price target for Lucid Group to $4, down from $7, and reduced its 2027 revenue outlook to $2.8 billion, citing weak Gravity sales and lower margins. The downgrade came after Lucid disclosed a $400 million draw on its Saudi‑backed credit facility, leaving about $2.1 billion still outstanding. The company also reported a 24% year‑over‑year decline in Q3 2026 production to 2,954 vehicles and a 6.7% drop in deliveries to 3,806 vehicles, while it pursues an operating reset targeting $1.4 billion of cash‑flow improvement in 2026.

RBC’s lower price target and revenue forecast suggest further downside pressure on Lucid’s stock, according to the analyst’s note. The $400 million credit‑line draw reduces liquidity headroom and may affect the company’s ability to fund its operating reset.

Sources