Rivian’s 90% Selloff
Rivian, the electric vehicle maker, may be in danger of losing its spot on the Nasdaq after its stock has dropped 90% since its peak in February. According to JPMorgan, the company’s stock has been in a freefall since the beginning of the year, and the company may be in danger of being delisted from the Nasdaq.
Rivian’s Stock Performance
Rivian’s stock has been on a roller coaster ride since its initial public offering in December 2020. After a strong start, the stock rose to a peak of $72.00 in February 2021. Since then, however, the stock has been in a steady decline, dropping to a low of $7.00 in June 2023. This represents a 90% drop from its peak, and has put the company in danger of being delisted from the Nasdaq.
Rivian’s Challenges
Rivian has faced a number of challenges since its IPO. The company has struggled to meet production targets, and has been hit hard by the semiconductor shortage that has affected the entire auto industry. In addition, the company has faced criticism for its high valuation, with some analysts questioning whether the company is worth its current market capitalization.
JPMorgan’s Analysis
JPMorgan analysts have warned that Rivian may be in danger of being delisted from the Nasdaq due to its poor stock performance. According to the analysts, the company’s stock has fallen below the minimum required for continued listing on the exchange. The analysts also noted that the company’s market capitalization has fallen below the $50 million threshold required for continued listing.
Rivian’s Response
Rivian has responded to the JPMorgan analysis by stating that it is confident in its long-term prospects. The company has noted that it is continuing to invest in its technology and production capabilities, and that it is confident that it will be able to meet its production targets. The company also noted that it is continuing to explore strategic partnerships and other opportunities to strengthen its position in the market.
Rivian’s Future
It remains to be seen whether Rivian will be able to turn its fortunes around and remain listed on the Nasdaq. The company has faced a number of challenges since its IPO, and its stock has been in a freefall since the beginning of the year. However, the company is continuing to invest in its technology and production capabilities, and is exploring strategic partnerships and other opportunities to strengthen its position in the market. Only time will tell if Rivian will be able to turn its fortunes around and remain listed on the Nasdaq.