Lucid Group price target lowered to $5 from $10 at Morgan Stanley

Morgan Stanley analyst Adam Jonas lowered the firm’s price target on Lucid Group (LCID) to $5 from $10 and keeps an Underweight rating on the shares. Electric vehicles, or EVs, are passing from acute under-supply to potential over-supply and Tesla’s (TSLA) recent price cuts "are just the latest sign the EV market may be entering the ‘shake-out’ phase," the firm tells investors. Morgan Stanley argues that shorter delivery times, price cuts, and falling used values "mark a new ‘reset’ chapter for EVs," which prompts them to recommend reducing exposure across the EV portfolio. As the leader in global EVs, Tesla’s aggressive posture on price "applies significant fundamental pressure on its peers," said the firm, which questions whether competitors can keep up.