Rivian (RIVN) is losing its momentum after the electric vehicle carmaker halved its production forecast due to ongoing supply chain challenges.
When reporting Q4 2021 earnings, Rivian beat on adjusted EBITDA but missed on both total revenues and total number of vehicles produced. The company said it expects to produce 25,000 electric trucks and SUVs this year. Analysts were hoping for the automaker to ramp-up production to 40,000.
“Since its IPO in late 2021 the Rivian story has been a bad episode out of the Twilight Zone for the Street,” Wedbush Managing Director of Equity Research Dan Ives, wrote in a note. “The company missed their first quarter out of the box on supply chain issues ‘surprises,’ then instituted a 20% price unit increase due to inflationary pressures which was then taken back 48 hours later by management after a slew of customer cancellations, and last night added to…
