Lucid Stock Falls After Key Management Executive Departs

Lucid
shares fell 2.5% on Monday after Nasdaq announced annual changes to the Nasdaq-100, an index composed of 100 of the largest non-financial companies listed on the Nasdaq stock market.

That change becomes effective on Dec. 18. Getting dropped from an index can generate some selling pressure. The
Invesco QQQ
ETF, for instance, tracks the Nasdaq-100 and has some $220 billion in assets under management.

House has been at Lucid since the company merged with a special purpose acquisition company in 2021. She will serve as a consultant through the end of the year.

“I want to thank Sherry for her contributions to the company during her tenure,” said CEO Peter Rawlinson in a news release. “She was a key member of our leadership team and a critical player during major corporate moments, including Lucid’s public listing in 2021, the production and delivery of Lucid Air, and the recent unveiling of Lucid Gravity. We wish Sherry the best of luck in her next chapter.”

The Gravity is an SUV and Lucid’s second model. It was unveiled in November. The company expects to start delivering it in late 2024.

Gagan Dhingra, Lucid’s current vice president of accounting and principal accounting officer, will take over as financial chief on an interim basis. Lucid said in a news release that a search for a permanent chief financial officer was underway.

Coming into Tuesday, Lucid stock has fallen about 44% over the past 12 months. Higher interest rates, slowing electric-vehicle demand, and more EV competition have weighed on investor sentiment.

Lucid started out in 2023 expecting to make about 12,000 vehicles. That number will be closer to 8,000. In the first three quarters of the year, Lucid has made just more than 6,000 units.

Write to Al Root at [email protected]