Volatility in shares of luxury electric-vehicle maker Lucid picked up after a report that suggested the company was considering a bankruptcy filing, The company strenuously denied the report.

There doesn't seem to be any reason for a filing, according to Cantor Fitzgerald analyst Andres Sheppard, who wrote late Tuesday the company was "funded well into next year."

That isn't helping yet. Lucid stock was down 4.1% in premarket trading at $4.43, while S&P 500 and Dow Jones Industrial Average futures were up 0.1% and flat, respectively.

The early Wednesday move comes after a wild day. On Tuesday, Lucid shares traded as high as $5.76 and as low as $2.37, with a severe drop coming just before 1 p.m. Eastern time.

A report from EV news portal electric-vehicles.com suggested the company was considering filing for bankruptcy or going private.

"The rumors are completely false," Lucid said in an emailed statement to Barron's. "The company has sufficient liquidity to carry its operations well into next year, as recently published in its last quarterly filings, and it has not formed any special Board committee to explore the scenarios reported today."

Through the end of March, Lucid had total liquidity of about $3.2 billion, according to Sheppard, including roughly $2.5 billion in undrawn debt capacity. What's more, in April, the company raised an additional $1 billion, including a $200 million investment from Uber.

Sheppard rates Lucid shares Hold and has an $8 price target on the stock.

Lucid isn't profitable yet and is using cash to build its business. Wall Street projects the company will use about $2.8 billion over the coming 12 months. Eventually, the company will need more capital, but there is enough money to fund it through 2027.

Lucid reports second-quarter earnings on Aug. 4. It will be a chance for investors to hear from new CEO Silvio Napoli. He "recently served as Chairman and CEO of [Switzerland-based] Schindler Group," added Sheppard. "We expect to hear Napoli's strategy towards accelerating [Lucid's] path to profitability."

Lucid isn't expected to generate positive free cash flow until 2029, according to FactSet, when annual vehicle deliveries top 140,000 units. Lucid delivered about 16,000 cars in 2025 and is expected to deliver about 21,000 in 2026.

In the second quarter, Lucid sold just under 4,000 luxury EVs.

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July 15, 2026 07:20 ET (11:20 GMT)

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