Rivian DD via /r/wallstreetbets #stocks #wallstreetbets #investing


Rivian DD

Not sure how to start this off but I think this is about a good time to buy Rivian, perhaps a once in a life time opportunity.

You may take a look at the stock price and see it dropping and think not to invest, but we have to look into why it is dropping.

Amazon, the largest investor in Rivian, has a contract for 100,000 or so delivery vans from Rivian by 2025. Just recently, Amazon decided to get delivery vans from Stellantis. Investors hear this and think that Amazon is ditching Rivian, when in reality, Amazon did not sell their Rivian stock, nor have they cancelled the contract. They are simply getting electric vans from multiple companies, decreasing the risk that one company will not be able to fulfill the ev van contract. However, investors have panic sold regardless because that’s what investors tend to do.

Here’s why I think Rivian will go back up.

Eventually people will realize that everything is fine and that the huge sell off was over nothing. Also, people will most likely be buying the dip. The most important reason perhaps is that Rivian has barely delivered any of its vehicles to customers yet as they have just started fulfilling orders. Based on reviews from influencers and people who have gotten their trucks, they are very good trucks. These are the perfect conditions for Rivian to take off because as Rivian delivers more trucks, they will definitely get a lot of positive attention from customers and a lot of people will be talking about the trucks.

Now for the position itself. I am DCAing for a month. You may want to DCA over a shorter period of time if you think it will reverse sooner, or you may want to DCA longer if you think it will take a bit to really turn around. IDK what I’m doing, so I am just buying shares every day for a month.

TLDR:

People are panic selling Rivian over nothing and as soon as Rivian delivers more of their trucks, which people seem to love, they will get lots of positive attention, and people will buy back in. I recommend DCAing as it is impossible to time the bottom of the dip, but I think the dip is near.

Submitted March 09, 2022 at 04:47AM by MrBlurby
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