By Dhirendra Tripathi

Investing.com – Lucid stock (NASDAQ:) rose 3% Thursday after Citi rated it a buy with a potential to hit $57, a 48% appreciation from the current levels.

While not ignoring the risks the company faces, Citi analyst Itay Michaeli said the company has demonstrated leading EV technology “credentials with a best-in-class blend of range, performance, charging dynamics and price.”

Analysts believe that the Air is the Air’s first car, and the company will be a pioneer in the premium EV market.

Lucid hopes to make 20,000 vehicles in 2022, with 50,000 by the year 2020.

The analyst believes the company’s updates on the launch of Air, the build up of manufacturing capabilities, brand awareness and its financial performance compared with prior projections are some factors that could take the stock price to its target.

On the risk side, he believes the company, still being pre-revenue, is yet to “successfully navigate production ramp-ups.”

Over three months ago, the Environmental Protection Agency certified that Lucid’s Air Dream Edition Range of cars outstrips any other in the EV space, including the most popular Tesla (NASDAQ:).

Lucid’s 19-inch wheel secured a rating of 520 miles on one full charge, making it the longest-range EV yet rated by the body. This title was once held by Tesla’s Model S Long Range Plus.

On Dec. 3, the SEC issued a subpoena to the company to provide documents regarding its merger with Churchill Capital.

It concerns certain projections, statements and other information that surround the proposed combination. The company stated that it cooperates fully with the SEC during its review.