NASDAQ:RIVN - Nasdaq - US76954A1034 - Common Stock
Shares of Rivian and Lucid are trading lower Tuesday as the EV sector reacts to major policy changes from President Donald Trump.
Trump's revocation of Biden's EV order has implications for EV-focused ETFs. U.S. based ETFs may face headwinds while global ones could be resilient.
Shares of electric vehicle manufacturer Rivian (NASDAQ:RIVN) fell 8.3% in the morning session after stocks of electric vehicle makers tumbled following reports that the new Trump Administration may eliminate subsidies for electric vehicles. There are also worries that the Trump administration might impose more restrictions on other programs, including grants and tax credits, which could weaken the adoption of electric vehicles.
Rivian scored a $6.6 billion DOE loan, GM impressed analysts with strategic moves, and Gogoro grappled with market challenges.
From an operational standpoint, both Tesla (NASDAQ: TSLA) and Rivian (NASDAQ: RIVN) had choppy years in 2024. Part of Tesla's stock success last year can be attributed to its late run following the election win from Donald Trump, as Tesla CEO Elon Musk was a big supporter of his and has become an advisor. Rivian delivered 51,579 vehicles in 2024, up from 3% in 2023, while Tesla delivered nearly 1.79 million vehicles, down from 1.81 million deliveries a year ago.
Shares of electric vehicle manufacturer Rivian (NASDAQ:RIVN) jumped 6% in the morning session after the company announced a loan agreement with the U.S. Department of Energy worth $6.6 billion to construct a new manufacturing facility in Georgia. The fund is expected to support the creation of 7,500 new manufacturing jobs and accelerate the production of Rivian's new vehicles (R2 SUV and R3 crossover).
The loan will be disbursed in two phases: up to $3.4 billion for the first phase and $2.6 billion for the second, excluding capitalized interest.
Bloomberg noted that the Department of Energy is preparing to announce a $1.7 billion loan guarantee for Plug Power and close a federal loan of around $6.6 billion for Rivian.
Lucid stock is up 17.4% after announcing a partnership with SoundHound; however, long-term investors will want to watch operating margins closely before buying
Discover the most active stocks in Friday's session. Stay informed about the stocks that are generating the most trading volume!