Rivian (RIVN) stock hits all-time low after double analyst downgrade, job cuts
After disappointing fourth-quarter results, Rivian (RIVN) stock earned a double downgrade, sending share prices to an all-time low. Sitting at its lowest value since going public, the EV maker looks to gain control of costs in 2024.
Q4 earnings miss the mark
After releasing Q4 and full-year earnings results Wednesday, Rivian announced it was laying off 10% of its salaried employees.
Rivian’s CEO RJ Scaringe explained on the company’s media call the move enables them “to maximize the amount of impact we can have as a company.” Scaringe said the company “is not immune to existing economic and geopolitical uncertainties.”
The impact of higher interest rates has rippled across the industry. Rivian’s order bank has “notably reduced” as the EV maker scales output.
Although deliveries more than doubled last year, with over 50,000 vehicles handed over, the pace slowed in Q4.
As CFO Claire McDonough explained in November, Rivian expected “a more significant gap between production and deliveries” with Amazon limiting new vehicle intake during the holidays.
Although Rivian’s net losses improved in the fourth quarter ($1.5B vs $1.7B) from 2022, the EV maker’s gross margins took a hit with lower vehicle deliveries.
| Q3 ’22 | Q4 ’22 | Q1 ’23 | Q2 ’23 | Q3 ’23 | Q4 ’23 | |
| Rivian loss per vehicle | $139,277 | $124,162 | $67,329 | $32,594 | $30,500 | $43,372 |
Rivian lost $43,372 for every vehicle it delivered in the fourth quarter. Despite improving the number all year, Rivian’s gross profit per vehicle fell from $30,648 in Q3, $32,595 in Q2, and $67,329 in Q1 2023.
Keep in mind, this is still a roughly $81,000 improvement from a year ago when Rivian was losing $124,162 for every EV handed over.
Rivian stock hits all-time low after downgrade
Rivian’s stock was already trending downward following the Q4 earnings miss, now it’s sitting at an all-time low at roughly $10 a share.
As the company announced in November, it will shut down consumer and commercial production lines for several weeks in Q2. The planned downtime is to introduce new cost savings and technology to the R1 platform.
Rivian expects the changes will “meaningfully reduce” material costs as it exits 2024. With the upgrades, Rivian believes it will achieve a “modest growth profit” in Q4 2024.
Although it’s only planned over a portion of Q2, the upgrades will “impact all four quarters of output,” as McDonough explained. As a result, Rivian expects deliveries to be 10% to 15% lower than in Q4, suggesting around 12K to 12.5K in Q1.
Rivian projects production will remain flat this year, with around 57,000 vehicles made at its Normal, Ill plant.
The EV maker’s future promises were not enough to win over analysts. Rivian stock earned a double-downgrade this week, with UBS and JP Morgan both cutting price targets.
Analyst Joseph Spak cut his price target from $24 to $8 per share. The target suggests over 23% downside from its current $10.40 price per share.
Although “we have been optimistic on RIVN’s product and brand ultimately winning out,” Spak said in a note to clients, “a rapidly changing EV backdrop causes us to reassess our demand view.”
Spak noted that Rivian’s path to profitability and cash flow could be harder to achieve. The analyst said UBS’ average annual delivery forecast for 2025 to 2027 is roughly 33% lower than before. Spak also raised concerns about achieving 2024 gross profit and EBITDA targets.
The analyst projects a big cash raise in 2025, potentially around 30% of its market cap. Meanwhile, Spak said strong demand for EVs could boost Rivian’s stock. Spak said improved cost reductions could squash the need for more capital.
JPMorgan also lowered its price target to $11, citing missed targets and disappointing new guidance.
Even Tesla’s CEO Elon Musk chimed in. Musk posted on X (Twitter), saying the “current trajectory has them bankrupt in ~6 quarters. Maybe that trajectory will change, but so far it hasn’t.”
Electrek’s Take
Although there are real concerns with Rivian’s financials and ability to generate a profit, the EV maker is executing a plan to get costs under control.
Rivian’s R1S was the best-selling EV in the US last year, priced over $70,000. The brand was the fifth best-selling EV maker in the US last year. Rivian has a good product and has already established itself as a true luxury EV maker. Now, the company needs to nail the next growth stage.
The company already has upgrades planned to cut costs with its R1 vehicles. On March 7, Rivian will introduce its more affordable R2 electric SUV, which will significantly expand its market.
Rivian will need to either cut costs further or introduce new revenue streams like services, as R2 production is not slated to begin until 2026.
McDonough said Rivian “remains confident” that cash and equivalents can fund operations through 2025.
Source: CNBC
FTC: We use income earning auto affiliate links. More.
First Solar just cut the ribbon on a huge new factory in Iberia Parish, Louisiana, and it dwarfs the New Orleans Superdome. The company’s $1.1 billion, fully vertically integrated facility spans 2.4 million square feet, or about 11 times the size of the stadium’s main arena.
The factory began production quietly in July, a few months ahead of schedule, and employs more than 700 people. First Solar expects that number to hit 826 by the end of the year. Once it’s fully online, the site will add 3.5 GW of annual manufacturing capacity. That brings the company’s total US footprint to 14 GW in 2026 and 17.7 GW in 2027, when its newly announced South Carolina plant is anticipated to come online.
The Louisiana plant produces First Solar’s Series 7 modules using US-made materials — glass from Illinois and Ohio, and steel from Mississippi, which is fabricated into backrails in Louisiana.
The new factory leans heavily on AI, from computer vision that spots defects on the line to deep learning tools that help technicians make real‑time adjustments.
Louisiana Governor Jeff Landry says the investment is already a win for the region, bringing in “hundreds of good-paying jobs and new opportunities for Louisiana workers and businesses.” A new economic impact analysis from the University of Louisiana at Lafayette projects that the factory will boost Iberia Parish’s GDP by 4.4% in its first full year at capacity. The average manufacturing compensation package comes in at around $90,000, more than triple the parish’s per capita income.
First Solar CEO Mark Widmar framed the new facility as a major step for US clean energy manufacturing: “By competitively producing energy technology in America with American materials, while creating American jobs, we’re demonstrating that US reindustrialization isn’t just a thesis, it’s an operating reality.”
This site joins what’s already the largest solar manufacturing and R&D footprint in the Western Hemisphere: three factories in Ohio, one in Alabama, and R&D centers in Ohio and California. Just last week, First Solar announced a new production line in Gaffney, South Carolina, to onshore more Series 6 module work. By the end of 2026, the company expects to directly employ more than 5,500 people across the US.
Read more: First Solar pours $330M into a new South Carolina solar factory
If you’re looking to replace your old HVAC equipment, it’s always a good idea to get quotes from a few installers. To make sure you’re finding a trusted, reliable HVAC installer near you that offers competitive pricing on heat pumps, check out EnergySage. EnergySage is a free service that makes it easy for you to get a heat pump. They have pre-vetted heat pump installers competing for your business, ensuring you get high quality solutions. Plus, it’s free to use!
Your personalized heat pump quotes are easy to compare online and you’ll get access to unbiased Energy Advisors to help you every step of the way. Get started here. – *ad
FTC: We use income earning auto affiliate links. More.
No, it’s not the new Bolt. GM’s design team previewed a new high-riding “sporty Chevrolet EV” that should be brought to life.
Is Chevy launching a new sporty EV?
This is the all-electric vehicle Chevy should sell in the US. General Motors’ design team released a series of sketches previewing a sporty new Chevy EV.
Although it kinda looks like the new 2027 Chevy Bolt EV as a higher-sitting compact crossover SUV, the design offers a fresh take on what it should have looked like.
The new Bolt is essentially a modernized version of the outgoing EUV model with a similar compact crossover silhouette. Nissan adopted a similar style with the new 2026 LEAF as buyers continue shifting from smaller sedans and hatchbacks to crossovers and SUVs.
Will we see the sporty Chevy EV in real life? It’s not likely. For one, the “exploration sketch” is by GM China Advanced designer Charles Huang.
GM Design posted the sketches on its global social media page, but the caption read “Sporty Chevrolet EV for the China Market.”
It’s too bad. The Bolt could use a sporty sibling like an SS variant. Chevy introduced the Blazer EV SS (check out our review) for the 2026 model year, its fastest “SS” model yet. Packing up to 615 horsepower and 650 lb-ft of torque, the Chevy Blazer SS can race from 0 to 60 mph in 3.4 seconds when using Wide Open Watts (WOW) mode.
Will the Bolt be next? I wouldn’t get my hopes up. And if GM does bring the sporty Chevy EV to life, it will likely only be sold in China. Like all the fun cars these days.
What do you think of the design? Would you buy one of these in the US? Let us know your thoughts in the comments.
While deliveries of the 2027 Bolt are set to begin in early 2026, Chevy is offering some sweet deals on its current EV lineup, including up to $4,000 off in Customer Cash and 0% APR financing for 60 months.
Ready to test drive one? You can use our links below to find Chevy Equinox, Blazer, and Silverado EVs at a dealership near you.
FTC: We use income earning auto affiliate links. More.
Environment
Podcast: Electricity is the base currency, Tesla Robotaxi crashes, new Porsche Cayenne EV, and more
In the Electrek Podcast, we discuss the most popular news in the world of sustainable transport and energy. In this week’s episode, we discuss electricity becoming the base currency, Tesla Robotaxi crashes, the new Porsche Cayenne EV, and more.
The show is live every Friday at 4 p.m. ET on Electrek’s YouTube channel.
As a reminder, we’ll have an accompanying post, like this one, on the site with an embedded link to the live stream. Head to the YouTube channel to get your questions and comments in.
After the show ends at around 5 p.m. ET, the video will be archived on YouTube and the audio on all your favorite podcast apps:
We now have a Patreon if you want to help us avoid more ads and invest more in our content. We have some awesome gifts for our Patreons and more coming.
Here are a few of the articles that we will discuss during the podcast:
Here’s the live stream for today’s episode starting at 4:00 p.m. ET (or the video after 5 p.m. ET:
FTC: We use income earning auto affiliate links. More.
-
Sports2 years agoStory injured on diving stop, exits Red Sox game
-
Sports3 years ago‘Storybook stuff’: Inside the night Bryce Harper sent the Phillies to the World Series
-
Sports2 years agoGame 1 of WS least-watched in recorded history
-
Sports3 years agoButton battles heat exhaustion in NASCAR debut
-
Sports3 years agoMLB Rank 2023: Ranking baseball’s top 100 players
-
Sports4 years ago
Team Europe easily wins 4th straight Laver Cup
-
Environment3 years agoJapan and South Korea have a lot at stake in a free and open South China Sea
-
Environment1 year agoHere are the best electric bikes you can buy at every price level in October 2024