RIVN: Electrified Or Electrocuted On Earnings?

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You cannot turn on the TV or watch videos online without seeing an electric vehicle (EV) commercial.

Rivian Automotive, Inc. (RIVN) designs, develops, manufactures, and sells electric vehicles and accessories. The company offers five-passenger pickup trucks and sports utility vehicles. It provides Rivian Commercial Vehicle platform for electric Delivery Van with collaboration with Amazon.com.

RIVN will release its fourth quarter and full year 2022 financial results after market close on February 28th.  (1) The electric truck maker’s stock has been wrecked in the past year with a 52-week range of $68.15 to $15.28. Rivian trades at $19.02 as we type. Next week’s earnings could help the stock regain lost ground or find new lows.

As you can see on the RIVN stock chart below, shares of the EV are off their recent lows and hugging the 50-day moving average. A positive earnings result with uplifting guidance could put RIVN shares in drive. Its chart shows some resistance at $22 but there isn’t much technical debris between $22 and the 200-day moving average of $28.68. A trip to the 52-week low could follow a disappointing report and guidance. A breach and close below $15.28 would likely spell big trouble.

Considering RIVN stock could make a sizeable move either way, options might be a consideration for speculators. March 10, 2023, call and put options with a $19 strike price last traded at $1.88. If RIVN stock moves more than $1.88 after next week’s results, options speculators that take both sides could make a profit.

Trading options and earnings is about as aggressive as it gets and is only appropriate for investors who can afford to lose a large percent of their investment. 

Rich Meyers
Investing Trends


1 – https://rivian.com/newsroom/article/rivian-sets-date-for-release-of-q4-and-full-year-2022-results