To the Victor Go the Spoils: Lucid Motors’ Air EV Is Now the Only Electric Sedan With a Range of Over 500 Miles After Tesla Cancels Its Model S Plaid+ Version
Lucid Motors, the manufacturer of the ultra-luxury Air electric sedan, is on a winning streak currently. With a strong open for the second consecutive week, shares of the SPAC Churchill Capital Corp. IV (NYSE:CCIV), which serve as a proxy for Lucid Motors in the pre-merger phase, seem to be on the verge of initiating a new uptrend.
The most recent bullish impetus for Churchill Capital IV shares comes on the back of Tesla’s (NASDAQ:TSLA) recent cancellation of the Model S Plaid+ version, which reportedly featured a range of around 520 miles.
Plaid+ is canceled. No need, as Plaid is just so good.
— Elon Musk (@elonmusk) June 6, 2021
This means that Lucid Motors’ Air EV will now be the only electric sedan with a range of over 500 miles. Bear in mind that Lucid Motors plans to commence its production run for final quality validation in June. This means that the company will likely be able to start delivering the Air EV within weeks now. Of course, NIO's (NYSE:NIO) ET7 sedan also features a range of around 600 miles. However, that electric sedan will only become available to customers in 2022. This means that for the rest of the current year, Lucid Air will be the reigning champion when it comes to the EV range.
Of course, as we noted in a post last week, Rivian’s proposed $70 billion IPO valuation played an important role in convincing investors that Lucid Motors’ current valuation is a veritable bargain. This then set the stage for a sustained rally throughout last week. With the cancellation of the Plaid+ model, we expect Churchill Capital IV shares to continue to exhibit substantial strength.
All eyes are now sure to turn to the upcoming special meeting of the SPAC’s shareholders, where the merger agreement with Lucid Motors would be formally approved. With SPACs again rallying in the de-SPAC phase, the meeting is likely to provide another healthy dose of upward momentum to the shares of the combined company.