Electric vehicle makers Rivian and Lucid saw their share prices plunge over 17% and 25% respectively after disappointing Q4 earnings reports.
Both companies cited stagnant production numbers of around 57,000 vehicles for Rivian in 2024 and 9,000 for Lucid in 2022 as disappointing investors.
CEOs from both companies attributed economic uncertainties like rising interest rates as negatively impacting demand.
“Our business is not immune to existing economic and geopolitical uncertainties, most notably the impact of historically high interest rates, which has negatively impacted demand,” Rivian CEO RJ Scaringe stated.
While Rivian beat revenue estimates, its larger than expected loss per share concerned investors.
Lucid also missed expectations on revenue.
Since going public in late 2021, shares of both companies have fallen sharply, around 80% for each, reflecting difficulties in scaling up production and demand in a small overall EV market dominated by Tesla.
The latest drops only added to the pain for shareholders over the past difficult year.
