Churchill Capital IV (CCIV) stock was down by 54% over the past month, and it looks likely to continue to fall. So, why investors lost their interest in this stock? Two reasons here.
First of all, why the stock reached its highest point in February? Investors bought the stock after hearing rumors about the merger with Lucid Motors. Investors sold off when it became fact. The people who buying this stock at relatively high point are still licking their wounds, but the question is where the value of Lucid Motors is?
The stock currently has lost its nearly 2 times its highest point. Some early investors have profited and got out of the game which is understandable, but what will happen to this stock next? and what will drive this stock up?
The second point may be not ideal, Lucid Motors will face huge challenges in high-end EV market, it not only has Tesla and Nio, and other traditional car makers will join the game. Lucid needs to prove its high-end EV cars are better than other well-know names, and maintain certain capacities of delivery, and then it has a chance to appear.
Now, we heard the things about Lucid Motors are just Icing on the cake, investors need bomb news. Obviously, it is not time to buy this stock.
Disclaimer: The opinions expressed in this article are solely those of the featured analysts. The content is intended to be used for informational purposes only. It is very important to do your own analysis before making any investment.