Trading at a valuation similar to the cash on its balance sheet, Rivian would be wise to sell to a competitor.
Rivian Automotive (RIVN 1.03%) has built an impressive fleet of vehicles, but it's struggling to ramp up production just as competitors are hitting the market and the price of electric vehicles is dropping. Selling to a legacy automaker may be the best option, which Travis Hoium covers in the video below.
*Stock prices used were end-of-day prices of March 27, 2023. The video was published on March 29, 2023.
Travis Hoium has positions in General Motors and Rivian Automotive. The Motley Fool has positions in and recommends Tesla. The Motley Fool recommends General Motors and recommends the following options: long January 2025 $25 calls on General Motors. The Motley Fool has a disclosure policy. Travis Hoium is an affiliate of The Motley Fool and may be compensated for promoting its services. If you choose to subscribe through their link they will earn some extra money that supports their channel. Their opinions remain their own and are unaffected by The Motley Fool.
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