Rivian’s stock tanked by almost 20% and hit a new low on Monday as the company’s IPO lockup period ended, giving some early investors—including Ford, according to reports—their first chance to sell shares of the electric vehicle startup, which have cratered amid the wider market sell off so far this year.
Rivian’s stock fell nearly 20%, sinking to a new all-time low of around $23 per share, as some of the startup’s early investors sold shares on Monday following the expiration of the company’s IPO lockup period.
The stock was especially hard-hit after CNBC reported over the weekend that one of Rivian’s two biggest corporate investors, Ford, would sell 8 million of its 102 million shares in the electric vehicle maker.
Sources also told CNBC that JPMorgan plans to sell between 13 million and 15 million shares of Rivian on behalf of an unnamed investor who is looking to offload shares.
Rivian’s other biggest investor is Amazon, which owns a nearly 18% stake, though few Wall Street analysts expect the e-commerce giant to sell its shares, as it has signed a deal for 100,000 electric vans by 2030.
After going public at a valuation of $90 billion last November, Rivian saw its stock surge as high as $179 per share before crashing down to earth in 2022: Shares of the electric vehicle maker are down 77% so far this year.
Even as Rivian struggles to ramp up production of its electric pickups and SUVs amid ongoing supply chain issues, most Wall Street analysts maintain a “buy” rating on the stock and remain convinced that it will eventually bounce back.