Feb 22, 2024 - Business
Charted: Rivian shares run off the road
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Rivian's stock plunged to an all-time low today after the automaker slashed its outlook.
Why it matters: Rivian's fate is intertwined with EV demand, which is falling behind expectations.
State of play: Last night, the company said it expects to produce only 57,000 vehicles this year — about the same as 2023.
- Flat is not good for a company that's supposed to be growing.
The impact: The company is cutting 10% of its salaried workforce.
- "Unfortunately, there's little RIVN can do to improve its near-term financial performance absent stronger demand," CFRA Research analyst Garrett Nelson wrote today in a research note.
The bottom line: Rivian shares closed down more than 25% to $11.45 — a far cry from its all-time closing high of $172.01 in November 2021.
