Rivian Erased $85.8 Billion Since 2021 IPO as Study Warns Hot Markets Breed Biggest Losers
Updated
Updated · The New York Times · Jul 3
Rivian Erased $85.8 Billion Since 2021 IPO as Study Warns Hot Markets Breed Biggest Losers
1 articles · Updated · The New York Times · Jul 3
Summary
$85.8 billion in shareholder value vanished at Rivian from its November 2021 IPO through last December, placing the EV maker among the worst stock investments in a century-long market study.
Hendrik Bessembinder's research argues the biggest losses often follow periods of extreme investor enthusiasm, when lofty debut valuations leave little room for disappointment.
Rivian and VinFast stand out as recent examples: both went public this decade with unusually high prices tied to electric-vehicle hype, then inflicted steep losses on long-term holders.
The broader list is dominated by companies that were once market darlings—especially tech names such as WorldCom and Lucent, along with Wachovia before its 2008 rescue—underscoring the risks when hot markets peak.