Add one other milestone to Rivian Automotive’s blistering and shocking run as a brand new inventory: It’s now the largest U.S. firm by market worth with no income.
The electrical-truck maker, backed by Amazon and Ford, has unseated Lucid Group Inc., an electrical automobile peer with no gross sales to its identify, on the high of the record.
Rivian’s shares have soared 67% from their preliminary public providing value of $78 on Wednesday. It’s nearly a 25% achieve away from overtaking Volkswagen AG, one of many world’s largest automobile producers, in market worth. In the meantime, Lucid has seen its inventory value advance 339% this yr. It went public by way of a merger with a blank-check firm in July.
“(It’s) critically thoughts boggling when it hasn’t even earned any discernible income but,” stated Michael Hewson, chief market analyst at CMC Markets, discussing Rivian’s valuation.
Electrical autos have been attracting investor curiosity since mid-2020, when governments, policymakers and firms introduced plans to put money into the trade amid a rising urgency to sort out local weather change. Current robust outcomes from Tesla and an enormous push from car-rental firm Hertz into EVs has supercharged all shares within the house.
Rivian’s rally for the third straight day vaulted its market worth above Mercedes-Benz maker Daimler AG on Friday, after racing previous Ford and Normal Motors Co.’s market valuations within the earlier two days.
