That’s why I only invest money into Rivian that I’m willing to lose, since it’s a minuscule part of the portfolio.You could have waited until Tesla turned its first profitable quarter and bought it. You’d have an average share price in the low single digits.
Rivian isn’t a long term play. It’s straight up gambling. You are so early to the party the building it’s going to be held at isn’t even completed yet. Rivian hasn’t even proven its business is sustainable. They’re losing $40K every time they sell a vehicle. That is not sustainable long term.
You do not have to buy a stock in its early days to profit. You can let a business prove itself first. Never buy a company with negative gross margins.
The average price of a new vehicle is $48K. Rivian is almost giving away the value of a new vehicle every time they sell one. Don’t care how nice their cars are if that doesn’t change fast they’re doomed.
The company projected positive gross margins by the end of this year. If they aren’t there or even near the vicinity then I’ll re-evaluate it. But yeah everybody knows the cash burn isn’t sustainable. That’s why they suspended the plant operations in Georgia to save a couple billy
I just know that I personally have seen enough to throw my hat in on a stock when it had plummeted recently to all time lows. They have started to gain recognition as a brand, they have a relatively strong consumer market, and big time investors (Bezos) in their back pocket that prolly won’t let them fail. I’m digging in