Why Rivian Stock Dropped Again Today
Electric vehicle (EV) start-up Rivian Automotive (NASDAQ: RIVN) provided its quarterly financial and operational update last week, and investors weren't impressed. Today, the company announced that a new executive will try to help solve the production and supply chain problems that caused the negative reaction. But the shares continued to decline today anyway. As of 11:51 a.m. ET on Monday, shares were down another 6.4%.
Last week, Rivian said it had produced 2,425 EVs as of March 8. But more importantly, the company projected it would make only 25,000 vehicles in 2022 even though it has the capacity to manufacture 50,000. That shortfall is because of supply chain issues causing a lack of sufficient parts and materials. Today, Rivian announced it hired a new chief operating officer (COO) to help address that situation.
Source Fool.com
