Is It Finally Time for Amazon to Sell Its Stake in Rivian Automotive?

When Rivian Automotive (NASDAQ: RIVN) went public in November 2021, it revealed that Amazon (NASDAQ: AMZN) was its largest stakeholder. That wasn't too surprising, since Amazon had previously signed an exclusive deal with the electric vehicle startup in 2019 to provide its logistics network with a fleet of 100,000 electric delivery vans (EDVs).At the end of 2022, Amazon still owned 17% of Rivian's Class A shares. But the value of that stake shriveled as Rivian's stock price plunged more than 80% below its IPO price of $78 a share. That decline caused Amazon to post an unrealized loss of $12.7 billion on its stake in Rivian in 2022, compared to a pre-tax valuation gain of $11.8 billion in 2021.Image source: Rivian.Continue reading
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