Shares of Lucid Group Inc LCID, a U.S. electric vehicle maker, fell 7% to $2.75 on Wednesday afternoon, as rising long-term Treasury yields shook investor confidence in high-growth companies.

What To Know: Lucid, like many speculative growth stocks, is sensitive to interest rate changes because higher yields reduce the present value of future earnings, making such stocks less attractive.

The sell-off followed a disappointing 20-year U.S. Treasury bond auction, which signaled weak investor demand and sent yields soaring. The 30-year yield jumped to 5.08%, the highest since October 2023, while the iShares 20+ Year Treasury Bond ETF sank to 19-month lows.

Investor unease deepened due to fears over rising deficits tied to President Donald Trump's proposed $4.1 trillion tax cut plan, now under debate in Congress. The plan could add to long-term fiscal pressure, forcing yields even higher.

With higher bond yields undermining appetite for risky assets, the market saw broad declines in tech and EV stocks. Unless bond demand improves or inflation eases, rate-sensitive names like Lucid may continue to struggle.

How To Buy LCID Stock

Besides going to a brokerage platform to purchase a share — or fractional share — of stock, you can also gain access to shares either by buying an exchange traded fund (ETF) that holds the stock itself, or by allocating yourself to a strategy in your 401(k) that would seek to acquire shares in a mutual fund or other instrument.

For example, Lucid is in the Consumer Discretionary sector. An ETF will likely hold shares in many liquid and large companies that help track that sector, allowing an investor to gain exposure to the trends within that segment.

According to data from Benzinga Pro, Lucid has a 52-week high of $4.43 and a 52-week low of $1.93.

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Photo: Lucid Motors