NU Ride Inc (NRDE)

[OPKOHEALTH2022]

Motley Fool

A rival's recall dings the EV-company's shares.

What happened
Lordstown Motors (RIDE -4.82%) is not Rivian Automotive (RIVN -7.28%), but on Monday, it had to pay for the apparent mistakes made by its peer, which also makes electric vehicles (EVs). After Rivian announced a major recall, Lordstown stock fell by 4.8%, in sympathy.

So what
Rivian's recall, due to a possible loose wheel fastener that could threaten the driver's control over steering, is a big deal on paper. It covers 12,212 vehicles produced from Dec. 10, 2021 to Sept. 27, 2022. That number comprises the vast bulk of the 13,198 deliveries the company has made so far this year, although it believes only roughly 1% of the recalled products might have the fastener problem.