In this article, we discuss the 5 Notable Market Movers to Watch on Wednesday. If you want to see some other stocks making big moves today, go directly to 10 Notable Market Movers to Watch on Wednesday.
5. Rivian Automotive, Inc. (NASDAQ:RIVN)
Number of Hedge Fund Holders: 29
Shares of Rivian Automotive, Inc. (NASDAQ:RIVN) rose over 11 percent in the mid-day trading session today after the Irvine-based electric vehicle (EV) maker reaffirmed its target of producing 25,000 vehicles in 2022.
The announcement follows a sharp surge in the company’s second-quarter production numbers. Rivian Automotive, Inc. (NASDAQ:RIVN) manufactured 4,401 vehicles in the June quarter, significantly higher than 2,553 in the March quarter.
Earlier this year, asset management firm Baron Funds also talked about Rivian Automotive, Inc. (NASDAQ:RIVN) in its first-quarter 2022 investor letter, stating:
“Rivian Automotive, Inc. designs, manufactures, and sells consumer and commercial electric vehicles. Shares of Rivian continued its volatile trading following the stock’s IPO in late 2021, declining 52% in the first quarter as investors rotated out of fast-growing long-duration stocks and as industrywide supply-chain issues delayed Rivian’s production ramp. In addition, even while other automotive companies raised prices due to inflationary pressures, Rivian launched a price increase campaign that was not well communicated and, as a result, was met with dissatisfaction by existing reservation holders. While this was an unforced error, the company quickly corrected course, reversing its decision to raise prices for existing reservations, while maintaining the increase on new buyers (which has not caused a material impact to demand). We retain conviction in the shares given management’s vision, Rivian’s product positioning, the company’s relationship with Amazon.com, and the company’s strong balance sheet, which will help it overcome the current challenges while taking advantage of the long-term opportunity as the market transitions to electric vehicles.”