CNBC’s ‘Mad Money’ host Jim Cramer has tracked the rise and fall of US electric vehicle startups Lucid Motors and Rivian since both went public in 2021, repeatedly favoring the Irvine-headquartered brand while urging investors to exit Lucid positions.
Both companies continue to struggle with demand for their premium EVs as 2026 shapes up as a pivotal year.
Both Rivian and Lucid cut guidance twice in 2025 — Rivian on deliveries, Lucid on production.
Based on the latest quarterly financial report, Rivian holds the accumulated deficit record among pure EV makers at over $26 billion, while Lucid saw its stock hit a new all-time low earlier this week.
Lucid plans to begin ramping up deliveries on the 2022 order for 50,000 EVs from the Saudi government in 2027 once its midsize model enters production, interim CEO Marc Winterhoff told Semafor this week.
The company also assembled the first prototypes of its upcoming $50,000 midsize SUV at its Arizona plant, marking progress toward entering a more affordable price segment.
Rivian said Friday it plans to begin production of customer units of its R2 SUV this spring, offering its most concrete timeline yet for a model expected to significantly expand the company’s reach into more affordable segments.
November 2021: Bubble Warning
Weeks after Rivian went public and months after Lucid‘s debut, Cramer warned investors about the EV bubble. Both startups had market capitalizations exceeding those of Detroit automakers GM and Ford.
“I can’t blame anyone who wants to find the next Tesla … but I need you to remember the lessons of 1999,” Cramer said on November 17, 2021.
“There were many stocks that made you money back then, but with the exception of Amazon, you got killed if you didn’t quickly ring the register,” he added back then before focusing on the two EV startups.
“If you own Lucid or Rivian and you’ve made a ton of money, you have my blessing — right here, right now, tomorrow morning — to literally take half off the table … and you can let the rest ride,” Cramer advised.
“Remember, you’re playing momentum, not car companies and not technology, and in that case it’s better to ring the register early and often,” the CNBC host added.
Since those comments, Lucid shares have plummeted 97.9% from $525.50 (adjusted for the 1-for-10 reverse stock split) and Rivian has dropped 89% from $146.07.
In 2022, shares of both EV makers lost over 80% of their value — 82% for Rivian and 83% for Lucid.
The declines continued in 2023 and 2024 for Lucid, while 2023 marked Rivian‘s only positive year since its IPO with a 27% gain.
Rivian fell over 43% in 2024, hitting an all-time low of $8.26 in April, before recovering in 2025.
Since going public, Lucid stock has been in a persistent downtrend, falling from its all-time high of $580.50 (adjusted for reverse split) in February 2021 to a new all-time low of $9.50 reached earlier this week, on January 20.
May 2025: Rivian Over Lucid
When an investor asked during ‘Mad Money’ show whether Lucid was a long-term play or part of an EV bubble, Cramer was blunt.
“You’re 21, you’re 21… Let’s put our money with something that is going to make a little more sense than Lucid,” Cramer replied.
“I think that if you wanted to be in that area, if you wanted to be in that kind of progressive area, you might go with Rivian. I think Rivian is better than Lucid,” he added.
July 2025: Uber Deal Skepticism
Days after Lucid announced a robotaxi partnership with Uber and Nuro — in which Uber invested $300 million and committed to purchasing 20,000 Gravity SUVs over six years — Cramer questioned the deal even as shares surged over 60% in the following few hours.
“When I drove a Lucid, it’s absolutely a terrific car. And that’s the extent of what you should do with it. Drive it,” Cramer said.
He compared the Uber agreement unfavorably to Volkswagen‘s investment in Rivian. “I think that you need a commitment, like the VW commitment to Rivian is extraordinary,” Cramer said.
Volkswagen committed up to $5.8 billion to Rivian as part of a joint venture focused on electric vehicle architecture and software.
Lucid shares initially surged nearly 60% on the Uber news before retreating 25% in subsequent days as investors noted the lack of detailed financial disclosures and digested the company’s 1-for-10 reverse stock split.
December 2025: Sell Button
During the Lightning Round segment on December 22, Cramer hit his signature sell button before a caller could finish asking about Lucid.
“Jim, it’s such a pleasure to speak to you. My question is on Lucid stock,” the caller began.
“Well, I’ll give you my answer,” Cramer said, pressing the sell button.
Lucid shares closed at $11.82 that day, less than a dollar above the record low of $11.09 reached December 17.
January 2026: Take the Loss
His latest comments came Thursday, when a caller mentioned buying Lucid shares in 2021 and being deep in the red.
“I bought shares of Lucid Group back in 2021, and I am deep in the red. So with the company…” the caller stated before Jim Cramer immediately interrupted.
“Take the loss. Take the loss. Take the loss,” Cramer said.
“I mean, look, Rivian [stock] is at $16. If you like that, Rivian is better. I don’t, but that’s the one you want to be in.”
Lucid shares are up 4.6% year to date while Rivian shares have lost nearly 20%.
