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California-based carmaker Lucid Group (NASDAQ:LCID) lowered the price of its Air luxury sedans for a limited time ahead of the upcoming holiday season.
The company reduced the prices of its Air Touring model from $95K to $87.5K, and Grand Touring model’s price dropped from $125.6K to $115.6K. Air Pure AWD’s price dropped from $82.4K to $74.9K, while the Air Pure RWD is still priced at $77.4K.
Prior to this, in August, Lucid (LCID) lowered the prices of its Air sedan models owing to lackluster demand.
The ongoing EV price wars have compelled carmakers to put their revenue figures ahead of margins, brought on by Tesla’s (TSLA) price cuts.
“I believe the launch of a low-priced Lucid Air Pure version, which is said to sell for $77.4K, is indicative of demand problems and may result in escalating margin pressure at a time when the EV manufacturer hasn’t even managed to drive the start-up into the profitability zone,” warned Seeking Alpha analyst The Asian Investor.
However, liquidity from Saudi Arabia seems to be providing some support for the carmaker amid tight margins.
Lucid’s (LCID) will report Q3 numbers on Tuesday, November 7, during post-market hours. Two weeks ago, LCID dropped 5% after its Q3 deliveries fell sequentially.
Image and article originally from seekingalpha.com. Read the original article here.