Auto - Manufacturers · NASDAQ
Current Price
$5.76
Intrinsic Value
Use the calculator below to estimate
Run a full DCF analysis on Lucid Group, Inc. with auto-filled fundamentals, adjustable assumptions, and sensitivity heatmap.
Lucid Group, Inc. a technology and automotive company, develops electric vehicle (EV) technologies. The company designs, engineers, and builds electric vehicles, EV powertrains, and battery systems. As of December 31, 2021, it operates twenty retail studios in the United States. Lucid Group, Inc. was founded in 2007 and is headquartered in Newark, California.
ROIC (TTM)
-53.8%
ROE (TTM)
-133.1%
FCF Yield
-201.27%
Based on trailing twelve-month data, LCID shows a free cash flow per share of N/A and a ROIC of -53.8%, key inputs for stock valuation using the DCF method. The P/FCF ratio of N/A and FCF yield of -201.27% are important context metrics when evaluating LCID's stock valuation relative to peers.
The intrinsic value of LCID depends on assumptions about future growth rate, discount rate (WACC), and terminal value. A DCF model discounts projected free cash flows back to present value — small changes in WACC can shift the estimate by 20% or more, which is why sensitivity analysis is essential.
Whether LCID is undervalued depends on comparing the DCF-derived intrinsic value to the current market price of $5.76. A positive margin of safety (intrinsic value above market price) suggests potential undervaluation, but the degree of confidence depends on the reliability of your growth and discount rate assumptions.
To perform a DCF valuation on Lucid Group, Inc.: (1) Start with the trailing free cash flow per share as the base, (2) project future FCF growth over 5-10 years based on Auto - Manufacturers industry trends and company fundamentals, (3) apply a discount rate (WACC) reflecting LCID's risk profile, and (4) add a terminal value for cash flows beyond the projection period.
DCF (Discounted Cash Flow) estimates what a company is worth today based on its future cash generation. For Lucid Group, Inc., this means projecting how much free cash flow the Auto - Manufacturers will produce over the next 5-10 years, then discounting those amounts to today's dollars. LCID's ROIC of -53.8% suggests the company may face challenges generating returns above its cost of capital.
WACC (Weighted Average Cost of Capital) is the discount rate in a DCF model — it reflects the minimum return investors require. For LCID, the capital structure and equity risk premium determine WACC. A 1% increase in WACC typically reduces the intrinsic value by 10-15%.
