Electric vehicle stocks defied the broader market optimism and ended mostly lower in the week that ended on March 8, led by Tesla, Inc. TSLA. Rivian Automotive, Inc. RIVN got a reprieve as investors cheered the introduction of new models by the Irvine, California-based company.
Key EV Events Recap
Tesla Facing Challenges: Tesla had a rocky week as concerns arose about potential Q1 delivery shortfalls. Analysts and fund managers expressed doubts about meeting the 474,000-unit consensus. Fund manager Gary Black predicted downward adjustments to delivery and earnings estimates. Despite negative headlines like the Giga Berlin factory outage due to suspected arson, Tesla maintained high Model Y inventories in Europe to potentially offset disruptions.
In an effort to boost Q1 sales, Tesla offered customers taking delivery by March 31 up to 10,000 miles of free supercharging, applicable to Model Y, Model S, and Model X EVs.
Rivian Introduces New Models: Rivian unveiled its midsize electric SUV EV, the R2, priced at $45,000. CEO R.J. Scaringe also announced the R3 EV, a midsize crossover, and the R3X, a performance variant. The R2 and R3 models will offer over 300 miles of range on a single charge and impressive acceleration speeds.
Rivian initiated R2 reservations in the U.S. for $100, with deliveries slated for the first half of 2026. Scaringe revealed over 68,000 reservations in less than 24 hours.
Ford’s EV Strategy: Ford is adapting to the EV market as it navigates challenges. With the Mustang Mach-E facing sales hurdles, Ford is exploring hybrid options to maintain competitiveness. February sales spiked by 10.5%, propelled by strong demand for family crossovers, pickups, and hybrids.
Nio’s Model Y Competitor: Nio disclosed details about its sub-brand Alps during an earnings call. The first Alps vehicle, positioned as a Model Y rival, will debut in the third quarter with lower costs and family-friendly SUV features, providing pricing flexibility.
Nio reported improved Q4 revenue and narrower losses.
Lucid’s Analyst Downgrade: RBC Capital Market lowered Lucid Group, Inc.’s price target from $6 to $3, citing subdued auto sales and licensing revenues. Earnings per share contributions were adjusted downward due to tempered profit expectations.
The KraneShares Electric Vehicles and Future Mobility Index ETF closed down 0.80% at $22.28, with weekly losses at 3.68%.
Stock Performance Summary:
| Performance (+/-) | |
| Tesla | -13.47% |
| Nio | +0.35% |
| XPeng, Inc. XPEV | -4.32% |
| Li Auto, Inc. LI | -16.54% |
| Fisker, Inc. (NYSE: FSR_ | -22.05% |
| Workhorse Group,WKHS | -8.01% |
| Hyzon Motors, Inc. HYZN | +2.81% |
| Canoo, Inc. GOEV | -11.27% |
| Rivian | +12.60% |
| Lucid | -6.91% |
| Faraday Future Intelligent Electric, Inc. FFIE | -32.83% |
| Nikola Corp. NKLA | -8.46% |
| VinFast Auto Ltd. VFS | -9.33% |
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