27% profit every 20 days?
This is what Nic Chahine averages with his option buys. Not selling covered calls or spreads… BUYING options. Most traders don’t even have a winning percentage of 27% buying options. He has an 83% win rate. Here’s how he does it.
Lucid Group, Inc. (NASDAQ:LCID) shares are coming under intense selling pressure Monday after the company disclosed an investigation by the SEC.
What Happened: Lucid received a subpoena from the SEC Friday requesting documents related to an investigation by the regulator, an 8-K filing by the California-based EV maker revealed.
ENTER TO WIN $500 IN STOCK OR CRYPTO
Enter your email and you'll also get Benzinga's ultimate morning update AND a free $30 gift card and more!
The investigation appears to be related to the business combination with the SPAC Churchill Capital Corp. IV and Atieva, Inc., and certain projections and statements.
The company said it is cooperating with the SEC in its review.
Related Link: Lucid Group Stock Drops: Why It Could Recover Nicely
Pullback A Buying Opportunity: Ever since the statements made by Nikola Corporation's (NASDAQ:NKLA) founder and former CEO resulted in three federal criminal fraud charges, new EV manufacturers were bound to face greater scrutiny from regulators attempting to protect investors, analyst Garrett Nelson from CFRA Research said, reviewing the development in a note.
The exact nature of the inquiry remains unclear, the analyst said.
Lucid's pre-transaction operating plans and forecasts to grow annual sales volume from 20,000 units in 2022 to 251,000 units in 2026 appears reasonable, Nelson said. The company's first model, the Lucid Air, has received overwhelmingly positive response, the analyst said.
CFRA said it views the pullback as a buying opportunity.
The firm maintained a Buy opinion and 12-month price target of $65 for Lucid shares, representing an estimated 2024 price/sales ratio of 12 times. It also maintained its earnings per share estimates for the period from 2021 to 2024.
LCID Price Action: Lucid shares were down 5.18% at $44.82 Monday afternoon.
27% profit every 20 days?
This is what Nic Chahine averages with his option buys. Not selling covered calls or spreads… BUYING options. Most traders don’t even have a winning percentage of 27% buying options. He has an 83% win rate. Here’s how he does it.