Lucid Group, Inc. (LCID)’s Deal With Uber Is “A Dalliance,” Says Jim Cramer

We recently published Jim Cramer Discusses These 10 Stocks & AI-Led Disinflation. Lucid Group, Inc. (NASDAQ:LCID) is one of the stocks Jim Cramer recently discussed.

Lucid Group, Inc. (NASDAQ:LCID) is a pure-play electric vehicle manufacturer that primarily focuses on the high-end electric vehicle market. The firm’s shares are flat year-to-date. However, Lucid Group, Inc. (NASDAQ:LCID)’s stock had lost 24% year-to-date until July 16th, primarily on the back of a massive 35% dip in February. So what changed the firm’s fortune? Well, Lucid Group, Inc. (NASDAQ:LCID)’s shares jumped by 36% after Uber announced a $300 million investment in the firm as part of a robotaxi deal. Here’s what Cramer said about the investment:

“I mean I, you know could, when I drove a Lucid, it’s absolutely a terrific car. And that’s the extent of what you should do with it. Drive it.

“I think that you need a commitment, like the VW commitment to Rivian is extraordinary. And it still hasn’t, still Rivian is back to where it was [inaudible]. That’s an open ended check from one of the biggest, the biggest car company. So I don’t think that Uber, it’s a dalliance, it’s a dalliance. It’s fun but it’s prurient.”

“I don’t want these. I think that these are all. . .you don’t want to be in them. They don’t have balance sheets to be able to handle what it takes to be a car. . .Although Lucid comes close to being a DeLorean.”

An engineer examining an electric vehicle design in a lab, showing the company’s innovative battery systems.

Previously, the CNBC TV host discussed whether Lucid Group, Inc. (NASDAQ:LCID) was a suitable long-term investment:

“You’re 21. Let’s put our money with something that is going to make a little more sense than Lucid. I think that if you wanted to be in that area, if you wanted to be in that kind of progressive area, you might go with Rivian, okay. I think Rivian is better than Lucid. Bingo.”

READ NEXT: 30 Stocks That Should Double in 3 Years and 11 Hidden AI Stocks to Buy Right Now.

Disclosure: None. This article is originally published at Insider Monkey.