Rivian Stock Price Watch: Potential for Big Swings After Earnings Call Today (Dec 16th, 2021)
Rivian reported a net loss of between $1.21 billion and $1.28 billion in the third quarter of 2021, as well as operational losses of between $745 million and $795 million. The company is expecting capital expenditures of about $8 billion through 2023, and analysts such as BofA Securities’ John Murphy forecast Rivian won’t turn an operating profit until at least 2025.
Rivian has seen some success with pre-orders, currently boasting 55,400 R1T and R1S vehicles from customers in North America and plans to deliver these by the end of 2023. However, production needs to ramp up significantly if Rivian is to become a serious long-term contender. As of December 15th, Rivian had produced 652 vehicles and delivered 384 R1T's and 2 R1S vehicles.
The news isn't encouraging so far, which will likely affect tomorrow's stock price negatively. But much like Tesla, it could experience huge swings up and down for years to come depending on future announcements. Investors should be aware that any positive news could cause the stock to jump significantly in a day.
Rivian is currently in a quiet period after its IPO, but will start making announcements once this ends. This earnings call today (December 16th) is expected to provide more information on the company's performance and outlook for the future.
Rivian is also expected to provide more details on its plans for the future, such as how it will use the $8 billion in capital expenditures. This could include investments in new factories and production lines, research and development of new technologies, or expansion into other markets.
The company has already made some moves towards expanding its presence outside North America by partnering with Amazon Japan to deliver electric delivery vans there starting next year. Rivian is also reportedly looking at entering Europe soon after that.
It's clear that Rivian still has a long way to go before becoming profitable but investors should be aware of any potential positive news coming out from tomorrow's earnings call which could cause stock prices to jump significantly overnight if they are optimistic about what they hear from management today.
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When will Rivian release its third quarter 2021 financial results?
Rivian will release its third quarter 2021 financial results today (December 16, 2021) after market close.
Is there an audio webcast to discuss the results and provide a business update?
Yes, Rivian will host an audio webcast to discuss its results and provide a business update at 1:30pm PT / 4:30pm ET the same day. The live webcast will be available at and a replay will be available at .
What should people expect from the earnings call?
People should expect losses as the company expects capital expenditures of about $8 billion through 2023, with some analysts such as BofA Securities’ John Murphy forecasting Rivian won’t turn am operating profit until at least 2025. Rivian last month estimated operational losses of between $745 million and $795 million and a net loss of between $1.21 billion and $1.28 billion. It forecasted its quarterly revenue to be about $1 million.
How many pre-orders does Rivian have?
Rivian disclosed to investors last month that it has a backlog of pre-orders for 55,400 R1T and R1S vehicles from customers in North America and plans to deliver these by the end of 2023.
How many vehicles has Rivian produced so far?
As of December 15th, Rivian has produced 652 vehicles, delivered 384 R1T's and 2 R1S vehicles so far.
What is the sentiment from analysts regarding production?
The sentiment from analysts is that Rivian needs to ramp up production in a big way. “Rivian needs to ramp quickly and effectively to materialize as a serious long-term contender. That is, Clark Kent (R.J. Scaringe) needs to emerge from the phone booth as Superman soon to...
Is there any news on delivery date estimates due this month?
No, there is no good news from Rivian’s promised delivery date estimates due this month.
What can people expect from tomorrow's stock price?
Tomorrow's stock price won't be pretty but much like Tesla, it will probably experience huge swings up and down for years to come. As soon as the next bit of news comes out that's positive, it'll jump $20+ in a day. However, the stock is still down from its highs of $70 in February.