Rivian Automotive Inc.’s missteps last week when it followed strong production and delivery numbers with news of a dilutive $1.5 billion convertible debt offering was “another gut punch to investors,” according to Wedbush analyst Dan Ives. The stock fell 23% on Thursday to suffer its biggest one-day decline since it went public in November 2021. News of the debt came as the company offered a preliminary third-quarter sales estimate of between $1.29 billion and $1.33 billion. The company estimated it had cash, cash equivalents and short-term investments of $9.1 billion as of Sept. 30. Rivian’s stock has gained 2.7% in the year to date, while the S&P 500 SPX has gained 12%.

Source: Punch October 09, 2023 17:12 UTC