Rivian, a company that makes electric vehicles (EVs), saw its stock price jump by 24.5% on Friday. This is the biggest increase since the company started trading on the stock market in November 2021. Rivian’s stock rose because its quarterly car delivery numbers were better than expected and the overall car market was doing well after the recent elections.
Strong Deliveries Boost Investor Confidence
Rivian delivered 14,183 vehicles in the last quarter, beating the expectation of about 13,000. The company also achieved its goal of delivering 51,579 vehicles in 2024, which was a little higher than the 51,000 expected by stock experts. Because of these good results, Rivian’s stock climbed to $16.49, the highest it has been since July 2023.
Good News for Other Automakers Too
Rivian wasn’t the only brand celebrating; other big car makers like Ford, General Motors, and Tesla also gained in stock price. Tesla saw an 8% rise after some disappointing delivery news earlier this week. Experts think Tesla’s bad delivery numbers might just be a small issue and not a long-term problem.
Rivian’s Impressive Post-Election Rise
After the recent elections, Rivian’s stock has climbed 56%, while Tesla went up 63%. This rise surprised many people who worried that President-elect Donald Trump’s ideas about cutting subsidies for EVs might hurt companies like Rivian. Although Rivian’s stock dropped 8% briefly after the election, it has since bounced back strongly.
Rivian’s Position in the Market
Even with the recent stock gains, Rivian is still much smaller than Tesla. Rivian is worth about $17 billion, while Tesla is valued at $1.3 trillion. Also, Rivian’s forecast of delivering 52,000 vehicles next year is very small compared to Tesla’s 1.79 million cars delivered last year. Rivian has not made a profit yet and has reported losses every quarter since going public.
FAQs
– Does Jeff Bezos own Rivian?
Reports say Amazon owns around 10% to 15% of Rivian.
– Did Volkswagen buy Rivian?
Yes, Volkswagen is investing $5.8 billion in Rivian and will own 50% of a joint project to improve vehicle software.
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