Livian(NASDAQ: rivn) and clarity(NASDAQ: LCID) Both were hot electric vehicle (EV) stocks. Libian was published on November 10, 2021 at an IPO price of $78, with its shares more than doubled to its record closing price of $172.01 just a week later. Lucid was made public on July 26, 2021 by merging with the Special Purpose Acquisition Company (SPAC). The stock began trading at $25.24, more than doubled its record closing price of $55.52 four months later.
The companies initially attracted bull stampedes with ambitious growth targets, amplifying their frenzy purchases in emotionally driven memestocks. But today, Libian and clear trade is around $13 and $3 respectively. Both stocks were feeling sick as they missed their targets and earned sudden losses. Also, the rising rates popped hilarious ratings.
Libian R2 SUV. Image source: Libian.
However, when interest rates fell in 2024, Libian and Melucid didn’t bounce back, even as investors returned to more speculative stocks. That feeling is still chilly. Livian shares have only risen 5% since the start of 2025, while Lucid shares have soaked 3%. The opposite investor should consider buying one of these EV stock Right now?
Rivian sells three EVs: R1T pickup, R1S full-size SUV, and electric distribution vans (EDVs) for its top investors; Amazon (NASDAQ: AMZN)and other companies. Before it was released, it claimed that it could produce 50,000 vehicles in 2022. But in reality, they produced 24,337 vehicles that year, as they tackled supply chain disruptions.
Lucid sells two vehicles: an air sedan and a new gravity SUV. The pre-merger presentation claimed that 20,000 vehicles could be delivered in 2022. Unfortunately, in 2022, we only delivered 4,369 vehicles due to the struggles of supply chain constraints and production issues.
At their record highs, Libian’s market capitalization reached $153.3 billion, or 92 times its revenue in 2022. Lucid’s market capitalization reached $91.4 billion, 150 times its revenue in 2022. These sky ratings lead to a sudden decline in both stocks when they miss their rosy predictions.
In 2023, Libian doubled its production to 57,232 units as it overcomes supply chain problems. However, in 2024, its production cooled the EV market to 49,476 vehicles, facing tougher competition and temporarily closed major Illinois plants to upgrade capacity.
In 2025, we only expect to deliver 40,000-46,000 vehicles, as we deal with higher tariffs on raw materials and batteries, ongoing supply chain challenges, and another temporary shutdown to prepare for the launch of a smaller R2 SUV in 2026. Porsche(OTC: Poahy)Saudi Arabian conglomerate Abdul Latif Jameel, and other large investors. It is expected that sales and profits will be significantly improved as it closes its latest quarter with $8.5 billion in liquidity and the deployment of smaller R2 SUVs reaches a wider range of customers.
Lucid delivery rose to 6,001 units in 2023 and 10,241 units in 2024, but these numbers were gross compared to the original estimates. Lucid faces many of the same macros and competitive challenges as Rivian, and its CEO Peter Rawlinson has attracted a lot of attention in his previous stint. Tesla‘s (NASDAQ: TSLA) Chief Vehicle Engineer – resigned in February this year. Its board has yet to appointed a permanent CEO. Rivian founder and CEO RJ Scaringe is in charge of his company.
Lucid claims that it can more than double production this year for 20,000 vehicles to bolster production of gravity SUVs, but it has no great track record of meeting its own expectations. However, Lucid is still firmly supported by Saudi Arabia’s Sovereign Public Investment Fund (PIF), owning nearly two-thirds of its shares, closing its latest quarter with liquidity of around $5.7 billion.
From 2024 to 2027, analysts expect Livian revenue to grow at a combined annual growth rate (CAGR) of 32% as liquid revenues rises at a CAGR of 85%. Based on these estimates, it should be consumed in 3.2 and 6.9 times the sales this year, with salt, Libian and clear trade respectively. Neither company is expected to approach breaking down, but Libian’s total margin has been positive over the past two quarters as the economy of scale begins.
Rivian’s production rate, healthier gross profits, and more stable leadership are now a stronger investment than Lucid, even if production has declined over the launch of the R2. As for Lucid, I don’t know if it will be able to successfully increase gravity production and meet the high expectations of Wall Street. If it has not reached its target, its valuation will decrease and its inventory will drop even further.
Consider this before purchasing inventory with Rivian Automotive.
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