Rivian Automotive (RIVN) has surpassed expectations with its fourth-quarter vehicle deliveries, meeting its delivery targets for 2024 as announced on Friday. This positive news led to an increase in Rivian’s stock, which rose by 24.4% to $16.49 during trading.
The electric vehicle manufacturer reported delivering 14,183 vehicles in the final quarter of the year and producing 12,727 units from its Normal, Illinois manufacturing facility. In comparison, the previous year’s Q4 figures were slightly lower, with 13,972 deliveries and 17,541 units produced. Analysts had projected around 12,700 deliveries for Rivian in Q4, indicating the company performed notably better than anticipated.
In total for the full year, Rivian produced 49,476 vehicles and delivered 51,579, aligning closely with its target of between 50,500 and 52,000 deliveries. Looking ahead, Rivian forecasts a production range of 47,000 to 49,000 units for 2024, signifying modest growth in deliveries compared to 2023.
Rivian also revealed that its fourth-quarter earnings report will be released on February 20, and noted that supply chain challenges that previously hindered production are no longer a concern. The company aims to achieve a positive gross profit per vehicle in Q4, an improvement over previous losses, including $39,130 per vehicle in Q3.
Despite a rough start to 2024, where the stock fell by 43%, there have been signs of recovery, with shares rising nearly 9% in December alone after announcing a potential $6.6 billion loan from the U.S. Department of Energy.
Rivian’s share performance has seen fluctuations but is currently trading above its 200-day and 50-day moving averages, providing some optimism for investors. Looking forward, Rivian CEO RJ Scaringe has been actively selling shares since June, as reflected in regulatory filings, but this has not significantly deterred investor confidence in the company’s progress and future.
As Rivian continues to navigate the evolving electric vehicle landscape, there is a sense of cautious optimism. The advancements in production and delivery indicate a robust trajectory, and potential growth in the coming years reflects a commitment to ramping up operations and overcoming past challenges.
Overall, Rivian’s early successes in 2024 could be a promising sign for its future, both in terms of production and stock performance.