: Rivian’s stock suffering a record plunge on heavy volume in wake of EV maker’s sales outlook, capital raise

Shares of Rivian Automotive Inc. RIVN tumbled 22.6% in very-active afternoon trading Thursday, in the wake of the electric vehicle maker’s sales outlook and convertible debt offering. Trading volume shot up to 146.6 million shares, nearly six-times the full-day average and enough to make the stock the most actively traded on the Nasdaq exchange. The current record decline on a closing basis for the stock, which went public on Nov. 10,2021, is 20.9% on May 9, 2022. Late Wednesday, the company issued preliminary third-quarter sales estimates that were in line with Wall Street expectations, but said it planned to offer $1.5 billion worth of debt, which can converted to cash, common stock or a combination of cash and stock. Rivian’s stock has slipped 0.5% year to date, while the Global X Autonomous & Electric Vehicles ETF DRIV has gained 14.9% and the S&P 500 index SPX has advanced 11.0%.

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