Rivian Has Good And Bad News After A Challenging Trading Session For EV Stocks.

After a rough trading day for its shares and those of other electric vehicle manufacturers, electric truckmaker Rivian provided investors with a report on its financial performance for the third quarter that was a mixed bag.

Rivian reported a loss of $1.4 billion after adjustments, which is less than the loss of $1.7 billion that analysts polled by Refinitiv anticipated. On the other hand, Rivian’s adjusted loss was lower than predicted. In addition to that, it was said that the company’s net reservations rose to 114,000 from 98,000 in its report for the second quarter.

However, although its revenue of $536 million was up 47% over the previous quarter’s revenue, it fell short of the revenue prediction of $552 million that was made by analysts.
After reporting late Tuesday night that the number of bookings for its electric vehicles (EVs) had dropped to 34,000 from 37,000 in the report for the prior quarter, the electric car manufacturer Lucid’s growth in reservations came as a significant surprise.

The announcement caused Lucid (LCDX) shares to drop by 17% for the day, and it also contributed to a 12% drop in share price for Rivian and the Chinese electric vehicle producer Nio (NIO) during regular hours of US trade.

The leading electric vehicle manufacturer, Tesla (TSLA), saw its share price drop by seven percent; however, this decline may have been more influenced by the news that CEO Elon Musk had sold nearly four billion dollars’ worth of Tesla (TSLA) shares since he completed the transaction to buy Twitter two weeks ago.
A bullish objective when other automakers, like Tesla, have been forced to lower sales projections for the year owing to supply chain concerns, Rivian also confirmed its ambition of ramping up manufacturing to construct 25,000 vehicles this year.
Rivian has produced slightly more than 14,000 vehicles throughout the first three quarters of this year. In order for the company to meet its production goal of 25,000 units for the year, it will need to achieve a 45% increase in production during the last three months of the year compared to the 7,400 units it produced during the most recent quarter.

However, despite the fact that it claims it is still on track to meet that 25,000 objective by the year 2022, it has pushed back the target date for the release of its smaller R2 model to the year 2026. It had earlier projected the model would not be released until 2025.

During after-hours trading, the report caused shares of Rivian to behave erratically, first increasing by 3%, then decreasing to trade somewhat lower, and then increasing by 5%.

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