The manufacturing ramp-up for Rivian is just too unsure for buyers to again the corporate, in response to funding agency D.A. Davidson. Analyst Michael Shlisky initiated protection of the electrical automobile inventory with an underperform ranking, saying in a notice to shoppers on Wednesday night that there’s an excessive amount of execution danger for brand new auto firms on this market. “Like most EV startups, there have been bumps within the highway; whereas we beloved the truck we examined, we’re apprehensive that destructive headlines will outnumber the positives within the months to come back,” Shlisky wrote. Rivian got here public final 12 months throughout a growth in investor curiosity in electrical automobile shares, and shares jumped above $100 per share within the first buying and selling session. At its opening value, Rivian had a market cap of greater than $90 billion . Nevertheless, market sentiment has since soured towards progress firms that lack money movement and earnings. Shares of Rivian have dropped greater than 70% 12 months to this point. Moreover, Rivian is having to take care of the availability chain points which might be weighing on your entire auto trade, however with out the long-term provider relationships of the extra established rivals. “RIVN has carried out higher than most with respect to its ramp-up of manufacturing. It stays to be seen whether or not RIVN can proceed to speed up manufacturing as easily as its exceptional autos can drive, particularly as new services open,” Shlisky wrote. D.A. Davidson set a $24 per share value goal for Rivian, which is greater than 20% beneath the place the inventory closed on Wednesday. — CNBC’s Michael Bloom contributed to this report.