Why Rivian Stock Sold Off Today
Automotive stocks had a mixed Thursday after President Trump announced plans for additional new tariffs on imported vehicles and auto parts. Among the winners in that session was Rivian Automotive (NASDAQ: RIVN). The electric vehicle (EV) maker's stock jumped 7.6% based on its made-in-the-USA production strategy.
The theory was that those import tariffs won't affect it like competitors such as General Motors and Ford, which both make electric trucks and SUVs. So investors may be wondering why Rivian shares are plunging Friday. As of 12:52 p.m. ET, the stock was down by 5.7%.
Trump's new 25% tariffs on imported vehicles would seemingly help Rivian become more competitive against its bigger rivals. GM currently sells its Equinox and Blazer EVs at much lower prices than Rivian's R1 SUV. Rivian's smaller R2, due to launch next year, is expected to be priced lower; starting at about $45,000, it would be more in line with the two aforementioned GM models. GM and Ford also manufacture the Silverado and F-150 Lightning electric pickup trucks, respectively, which directly compete with Rivian's R1T.
Source Fool.com
General Motors Corp Stock
Currently there is a rather positive sentiment for General Motors Corp with 40 Buy predictions and 10 Sell predictions.
On the other hand, the target price of 64 € is below the current price of 69.58 € for General Motors Corp, so the potential is actually -8.02%.
