Rivian: Q2 Deliveries, Short Positions, and Volkswagen Stake
Q2 Delivery Estimates
Early projections indicate that Rivian may have performed well in Q2 delivery estimates. Wall Street's initial estimates have been fairly accurate in the past.
Massive Short Position
Rivian faces a significant short position, with a limited window for short-sellers to cover their positions. It is anticipated that they may start purchasing Rivian shares as early as Monday.
Volkswagen's Investment
Volkswagen's recent $1 billion investment in Rivian has boosted the company's shares by 30%. This move is a sign of confidence in Rivian's future.
Competitive Advantage
Despite the ongoing economic downturn, Rivian is considered to be in a strong position compared to its competitors. The company has ample cash reserves to sustain its operations longer than others.
Cash Flow Concerns
Rivian's primary concern is its cash flow. If interest rates continue to decline, it could provide relief for the company. However, if they increase, it could pose a significant challenge.
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