Shares of Rivian dropped 6.6% on Tuesday, touching an intraday peak of $16.92 before pulling back to close at $15.73, as the electric vehicle maker began delivering its new R2 SUV to reservation holders.
The S&P 500 lost 0.3% on the day
The declines came even as Rivian announced it was moving up the timeline for an entry-level R2 model — priced at roughly $45,000 — from late 2027 to next summer, according to CNBC. Expert reviews of the R2 released Tuesday were largely positive. Rivian CEO RJ Scaringe committed to gross-margin positivity on every R2 configuration, across a price range spanning approximately $45,000 to $58,000.
Scaringe said the company expects the sweet spot for sales to be in the low $50,000s once full R2 production is online. The R2 is central to Rivian’s push toward profitability. The company reported a third consecutive quarter of positive gross profit in its most recent earnings, though its automotive segment posted a gross profit loss of $62 million in the first quarter.