EV Automaker Rivian Sees Stocks Plummet After Bad Fourth Quarter

[Auto Styling News]

Rivian, the U.S. electric automaker that went public late last year, reported its fourth-quarter financial results and calendar 2021 outcome, results that along with its production forecast for 2022 disappointed Wall Street and sent shares to a new low, according to TechCrunch.

The company (trading as RIVN) are holding steady at just below $36 a share, after losing 12% of its value in after hours trading on Thursday. That followed losing 6% of its value Thursday during daily trading.

A worldwide computer chip shortage, lingering doubts about future energy supplies, and range anxiety are all creating a perfect storm that is causing EV adoption hesitancy in the electric car market, despite a great deal of hype from the auto industry itself.

That is having a serious effect on startups like Rivian and lesser known companies like Canoo (GOEV) an electric automaker that has also has seen its stock plummet in recent months (it stands at $5.76 a share, down 1.35% Thursday) despite a new factory having been constructed in Oklahoma and promises of their van-like Lifestyle vehicle being produced by the end of the fourth quarter of this year - the seemingly ambitious goal that is also being doubted among those watching Rivian.

Nevertheless, Rivian produced just over 900 vehicles by the end of 2021, despite the fact that this was not enough to turn a profit.
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Auto Styling News is a blog that covers car concepts, newly released models, and the auto industry.

SEC Launches Investigation Into EV Maker Lordstown Motors

[Auto Styling News]

The Securities and Exchange Commission has asked Lordstown Motors for more details about claims that the EV start-up deceived financiers about its development to date. 

Lordstown Motors, which is backed by General Motors, stated last Wednesday that it is complying with the investigation and its board of directors has created a special  committee to evaluate the claims.

The claims came last Friday from short-selling company Hindenburg Research study, which divulged in addition to the report that it had taken a brief position in Lordstown Motors. 

The company formerly launched a report about hydrogen trucking start-up Nikola that likewise caused probes from the SEC and the Department of Justice.

Hindenburg declared in the report that a few of the EV start-up’s largest preorders were made by business that do not appear to actually have the cash needed to acquire huge batches of Lordstown Motors’ electrical pickup, each of which will begin at around $50,000. 

In January, this blog reported that the company had claimed to have received more than 100,000 non-binding production reservations from commercial fleets for its forthcoming Endurance all-electric pickup truck

Hindenburg asserts that Lordstown Motors deceived the general public, financiers, and the federal government about the development it has made up until now on its first model.

More details here.

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Auto Styling News is a blog that covers car concepts, newly released models, and the auto industry.