The management shake-up Lucid unveiled alongside its second-quarter delivery figures matters more to the company’s trajectory than the quarter’s disappointing numbers, Baird told clients this week.
In a new research note first obtained by PriceTarget, the firm reiterated a Neutral rating and a $6 price target on the stock.
Baird’s analyst Ben Kallo framed the leadership actions, rather than the delivery miss, as the more consequential development, tying them to the strategic review previously announced by the recently appointed Chief Executive Silvio Napoli.
The stance kept Baird on the sidelines, its $6 target implying the stock is roughly fairly valued after a year in which it has lost nearly three-quarters of its value.
As of press time, Lucid shares were trading 1.3% lower at $5.90.
Baird has cut its target sharply over the past six months, taking it from $17 at the start of the year down to $6 by May, with only a brief uptick to $14 in March interrupting the slide, and held it at $6 in the latest note.
The Note
Kallo wrote that the several leadership transitions announced on July 2 were the highlight of the delivery release, which Lucid issued the same day.
Lucid delivered 3,953 vehicles in the quarter, a figure that missed Baird’s and consensus estimates even though it grew both sequentially and from a year earlier.
The total came in above the roughly 3,100 Lucid managed in the first quarter and the 3,309 it delivered a year earlier, a genuine improvement that still fell short of what analysts had modeled.
Kallo read the new hires and the halving of the chief executive’s direct reports as the clearest signal yet of how the incoming leader intends to run the company.
Among them is the departure of Chief Financial Officer Taoufiq Boussaid, who will be replaced by Alexander De Bock after Lucid reports second-quarter earnings, due after the close on August 4.
Baird left its rating and target unchanged, a reiteration rather than a fresh call.
What Lucid Announced
The note followed last week’s release in which Lucid paired its production and delivery totals with a wholesale leadership overhaul.
Lucid produced 4,774 vehicles and delivered 3,953 in the quarter, and said the changes under Napoli would halve the number of executives reporting directly to the chief executive.
Napoli said the company was “simplifying the organization, strengthening leadership, enforcing accountability” and aligning around customers, quality and innovation.
The new slate is broad: De Bock, from supplier TI Automotive, as chief financial officer; Raja Ramana Macha, from Eaton, as chief technology officer; Billy Hayes, formerly of Nissan and Stellantis, as chief customer officer, and Hugo Martinho, from Schindler, as chief transformation officer from August 1.
Additionally, Kay Stepper (previously at Bosch and Qualcomm, joined as President of a new Lucid Technologies unit and Chief Digital Officer, while Christian Appel was promoted to VP of Program Management.
Stepper’s Lucid Technologies will operate as a distinct business unit covering robotaxis, autonomy, driver assistance and AI, a carve-out Lucid framed as a vehicle for partnerships and shareholder value in a fast-moving field.
Boussaid, who became finance chief in January 2025, is the latest of many senior departures under a leadership churn that has swept out most of the team assembled by founder Peter Rawlinson.
Street’s Take on Lucid
Baird’s $6 target sits close to where Lucid trades, and reflects a broadly cautious Street.
Lucid shares are down about 44% for the year and around 74% over 12 months, though they had bounced about 26% in the past month before the latest leg lower.
Cantor Fitzgerald reiterated a Hold with an $8 target on July 2, TD Cowen holds at $7, and Citi stands out with a Buy at $14, leaving the stock without much of a bull case among the major shops covering it.
Across the coverage, targets range from about $6 to $14, but the ratings cluster at hold, a spread that reflects deep uncertainty over where Lucid ultimately settles.
At its 2021 peak Lucid was worth more than $90 billion, and it now trades near record lows, with Baird’s $6 a fraction of the targets it carried a year ago.
Lucid carried out a 1-for-10 reverse stock split at the end of August 2025, folding ten shares into one to lift a price that had slipped below $5 toward $20 and protect its Nasdaq listing.
Less than a year later, the stock has given back most of that engineered gain, trading near $6, a level that without the split would sit around 60 cents.
The Bigger Picture
Kallo’s framing captures a shift in how the Street is reading Lucid.
With deliveries still measured in the low thousands and losses running near $1 billion a quarter, the quarter-to-quarter numbers have become almost secondary to the question of whether Napoli’s restructuring can put the company on a sustainable path.
Napoli, who took over on June 1, has moved quickly, cutting about 18% of the US workforce, eliminating the chief operating officer role and now rebuilding most of the senior team.
The reset comes with Lucid under real strain, having lost about $2.7 billion in 2025 and burned cash heavily, sustained by its majority owner, Saudi Arabia’s Public Investment Fund, from which it drew another $800 million days before the overhaul.
Lucid suspended its 2026 production guidance in May pending Napoli’s review, and the August 4 results will be the first full financial picture under his leadership.
