Rivian’s stock suffers record plunge on heavy volume in wake of EV maker’s sales outlook, capital raise

Shares of Rivian Automotive Inc.
RIVN,
+3.56%
tumbled 22.9% on Thursday, its largest percentage drop on record, in very-active afternoon trading, in the wake of the electric vehicle maker’s sales outlook and convertible debt offering. The previous record decline on a closing basis for the stock, which went public on Nov. 10, 2021, was 20.9% on May 9, 2022. Late Wednesday, the company issued preliminary third-quarter sales estimates that were in line with Wall Street expectations, but said it planned to offer $1.5 billion worth of debt, which can converted to cash, common stock or a combination of cash and stock. Rivian’s stock has slipped 5% year to date, while the Global X Autonomous & Electric Vehicles ETF
DRIV,
+1.63%
has gained 14.2% and the S&P 500 index
SPX,
+1.18%
has advanced 11.4%.