Lucid Motors Was Once a Hot EV Stock. Now Morgan Stanley Warns That the Flames Are Freezing Over.

Lucid Group (LCID) was once the electric dream everyone wanted a piece of, an electric vehicle (EV) darling blazing with promise in a market racing toward the future.

But as the industry cools, Morgan Stanley (MS) now warns that those flames are flickering into an “EV winter.” The bank anticipates U.S. EV demand slipping hard in 2026, with volumes dropping by double digits and consumers squeezed by affordability, credit tightening, and tariff-driven costs.