Electric vehicle maker Rivian reported its best day ever on Friday after announcing 2024 production and delivery numbers that matched its previous expectations. Shares closed at $16.49 per share, up 24.5%, the largest daily gain since going public in November 2021.
In contrast to last year’s decline of 43%, where the company burned through cash and missed production targets, Rivian’s latest report shows improved fortunes. The company produced 49,476 vehicles, including 12,727 trucks and vans, during the fourth quarter, exceeding analyst estimates of 13,472 deliveries.
Rivian had previously lowered its production target to between 47,000 to 49,000 vehicles in October due to a shortage of shared components. However, the company now says that the shortage is no longer a constraint on production. Rivian’s stock is scheduled to release its fourth-quarter financial results on February 20.
The significant increase in shares reflects optimism about Rivian’s future prospects and comes after several months of struggling with cash burn and missed targets. The improved report has revitalized investor confidence, leading to the largest daily gain since its IPO.
Source: https://www.cnbc.com/2025/01/03/rivian-meets-2024-vehicle-production-target.html