On Wednesday, NYSE:CCIV plunged 3.26 percent more as the larger EV market tumbled.
As a dilution rumor circulates on social media, lucid investors become concerned.
Tesla’s stock continues to plummet, dragging down other automakers with it.
After the SPAC stock continued its slide for the fourth straight session, NYSE:CCIV may be starting to worry its investors. On Wednesday, shares of CCIV fell 3.26 percent to $25.52, closing the day at a new low. CCIV is still trading above its 50-day and 200-day moving averages, but with the latest drop, shares are rapidly approaching those levels. With only two weeks until the shareholder vote and the eventual merger with Lucid Motors, CCIV may be seeing a pullback as it enters the period of uncertainty that comes with a SPAC merger into a freshly public business.
Keep up with the latest news on trending stocks!
A report circulating on social media regarding some anticipated shareholder dilution could have been a reason for another down day for CCIV. The source of this story was a part of voting instructions provided to shareholders that stated Lucid would increase the number of common shares outstanding from 400 million to 15 million. Finally, it appears that investors misinterpreted the situation, causing unneeded alarm and uncertainty. It’s simply another reminder that believing everything you read or hear on the internet isn’t always a good idea.
As industry leader Tesla (NASDAQ:TSLA) continues to slide after some recent bad news, the entire EV sector has been seeing a slight downturn. Tesla’s stock dropped 2.26 percent on Wednesday after another accident involving the FSD system was blamed on it, as well as a new Model S Plaid catching fire. After China said it was cracking down on Chinese tech stocks listed on U.S. equities markets, Chinese EV stocks took a beating. XPeng (NYSE:XPEV) and Li Auto (NASDAQ:LI) both declined 5.73 percent and 4.62 percent, respectively, while Nio (NYSE:NIO) fell 8.45 percent./n
Read More
