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Nov. 9, 2021, 8:57 a.m. EST

Rivian Cashes in on Electric Vehicle Euphoria

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Nov 09, 2021 (Baystreet.ca via COMTEX) -- Rivian’s $10 billion cash raise from going public could mark the peak euphoria in electric vehicle stocks. Partly owned by Amazon /zigman2/quotes/210331248/composite AMZN -1.99% and Ford /zigman2/quotes/208911460/composite F -3.22% , the EV truck maker has a viable business model.

Investors who bought Lucid /zigman2/quotes/221104327/composite LCID -7.13% or Tesla /zigman2/quotes/203558040/composite TSLA -1.82% may consider Rivian, too.

Lucid’s solid run-up from the $25 moving average rewarded investors with upwards of 70% returns in a month. The high-end EV maker rallied after it started selling a few units. But Rivian’s pickup truck would have strong demand from corporate customers like Amazon. Unlike Lucid, which is selling premium cars and then targeting the mainstream next year, Rivian will not rely on consumer tastes.

The EV market lacks a supplier of trucks. Ford’s F-150 still relies on consumers. Tesla announced, but never launched, a Cybertruck. This opens up the market for Rivian. As it raises billions, Rivian will have funds to produce the Rivian R1T in mass quantities. It has a good chance of taking the most market share.

Ford will have trouble competing with Rivian if customers want something new from a different firm. Besides, business customers will find the pricing starting at $74,145 appealing.

Rivian could lift all EV stocks for weeks. This rally may not last. Investors should consider taking profits if the buying frenzy gets out of hand.

COMTEX_396576569/2559/2021-11-09T08:57:19

Is there a problem with this press release? Contact the source provider Comtex at editorial@comtex.com. You can also contact MarketWatch Customer Service via our Customer Center.

/zigman2/quotes/210331248/composite
US : U.S.: Nasdaq
$ 3,178.35
-64.41 -1.99%
Volume: 3.37M
Jan. 18, 2022 4:00p
P/E Ratio
62.15
Dividend Yield
N/A
Market Cap
$1644.56 billion
Rev. per Employee
$352,824
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/zigman2/quotes/208911460/composite
US : U.S.: NYSE
$ 24.38
-0.81 -3.22%
Volume: 110.82M
Jan. 18, 2022 4:04p
P/E Ratio
33.64
Dividend Yield
1.64%
Market Cap
$100.67 billion
Rev. per Employee
$723,737
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/zigman2/quotes/221104327/composite
US : U.S.: Nasdaq
$ 39.21
-3.01 -7.13%
Volume: 29.65M
Jan. 18, 2022 4:00p
P/E Ratio
N/A
Dividend Yield
N/A
Market Cap
$69.51 billion
Rev. per Employee
N/A
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/zigman2/quotes/203558040/composite
US : U.S.: Nasdaq
$ 1,030.51
-19.10 -1.82%
Volume: 22.33M
Jan. 18, 2022 4:00p
P/E Ratio
333.67
Dividend Yield
N/A
Market Cap
$1054.09 billion
Rev. per Employee
$662,097
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