--- title: "Here's Why Rivian Stock (RIVN) Crashed 18% on 7/7/26" type: "News" locale: "en" url: "https://longbridge.com/en/news/292047060.md" description: "Rivian (RIVN) stock crashed 18% following the launch of a $1.2 billion public offering priced at $15.50 per share, raising fears of dilution. Despite beating Q2 delivery estimates, the stock faced bearish ratings from analysts citing heavy capital spending and potential sales stagnation due to ending EV subsidies. Rivian plans to use funds for general corporate purposes and DOE loan obligations, while banking on its new R2 SUV to drive future growth." datetime: "2026-07-08T09:35:47.000Z" locales: - [zh-CN](https://longbridge.com/zh-CN/news/292047060.md) - [en](https://longbridge.com/en/news/292047060.md) - [zh-HK](https://longbridge.com/zh-HK/news/292047060.md) --- # Here's Why Rivian Stock (RIVN) Crashed 18% on 7/7/26 Shares of Rivian (RIVN) are down more than 4% early Wednesday, after sinking by 18.12% on Tuesday. This decline comes amid the U.S. electric vehicle maker's capital-raising effort and bearish ratings from Wall Street analysts. ### 4th of July Sale - 70% Off - Unlock powerful investing tools and data-driven insights with TipRanks Premium for more confident investment decisions. - Discover top stock picks and new investment opportunities through TipRanks' Smart Investor Newsletter. ## **Rivian Races to Raise $1.2B** Late Tuesday, Rivian kicked off its previously announced public stock sale, likely renewing fears of share dilution. The automaker priced the offering at $15.50 per share. With 75 million shares on the table, the automaker is eyeing about $1.2 billion in total gross proceeds. In addition, Rivian said it gave underwriters a 30-day option to buy an additional 11.2 million of its shares. The offering is expected to close on Thursday, July 9. Rivian said it plans to use the funds for general corporate purposes. It will also commit a portion of the proceeds to settle its obligations under a loan arrangement with the U.S. Department of Energy. ## **Why Wall Street Is Bearish on Rivian Stock** Meanwhile, the massive drop in Rivian's shares comes as analysts have slapped three Sell ratings on RIVN stock in recent days. Two came even as the carmaker released second-quarter delivery estimates that surpassed Wall Street expectations. During the quarter, Rivian delivered 12,194 vehicles. This surpassed the California-based company's own forecast. It also came in ahead of JPMorgan's (JPM) projection of 11,000 units. Nonetheless, JPMorgan analyst Rajat Gupta kept his Sell rating on RIVN, citing Rivian's heavy capital spending. Similarly, Mizuho analyst Vijay Rakesh refused to upgrade RIVN from Sell. Rakesh believes Rivian's battery-electric vehicle sales could come in flat year-over-year. He attributed his bearish outlook to the end of EV subsidies in the U.S. ## **What's Next for Rivian?** Rivian remains unprofitable. The carmaker is looking to its more affordable R2 SUV to boost sales. It launched the vehicle in March and started taking orders early last month. Last week, Rivian raised its full-year 2026 delivery forecast above Wall Street's consensus. The carmaker expects to deliver between 65,000 and 70,000 vehicles. It appears that Rivian is banking on the rollout of the R2 SUV. ## **Is Rivian a Buy or Sell?** On Wall Street, Rivian's shares remain a Hold. This is based on eight Buys, five Holds, and four Sells issued by 17 analysts over the past three months. However, the average RIVN price target of $18.24 suggests about 11% upside (see **RIVN stock forecast** here). ### Related Stocks - [RIVN.US](https://longbridge.com/en/quote/RIVN.US.md) - [RVNL.US](https://longbridge.com/en/quote/RVNL.US.md) - [JPM.US](https://longbridge.com/en/quote/JPM.US.md) - [8411.JP](https://longbridge.com/en/quote/8411.JP.md) - [MFG.US](https://longbridge.com/en/quote/MFG.US.md) - [JPM-M.US](https://longbridge.com/en/quote/JPM-M.US.md) - [JPM-C.US](https://longbridge.com/en/quote/JPM-C.US.md) - [JPM-D.US](https://longbridge.com/en/quote/JPM-D.US.md) - [JPM-L.US](https://longbridge.com/en/quote/JPM-L.US.md) - [8634.JP](https://longbridge.com/en/quote/8634.JP.md) - [JPM-K.US](https://longbridge.com/en/quote/JPM-K.US.md) - [JPM-J.US](https://longbridge.com/en/quote/JPM-J.US.md) ## Related News & Research - [RIVN Stock Alert: What to Know as Rivian Sues for Refund of Trump Tariffs](https://longbridge.com/en/news/293793238.md) - [Bad news Rivian R2 flippers, one of the first models only fetched $63k](https://longbridge.com/en/news/293812157.md) - [Ex-VW engineer accused of Rivian insider trading allegedly googled 'statute of limitations'](https://longbridge.com/en/news/293963384.md) - [First Rivian R2 resale nets just $2,015 over sticker](https://longbridge.com/en/news/293844519.md) - [Rivian wants tariff money back—plus interest](https://longbridge.com/en/news/293948615.md)