The Lede
According to Refinitiv, Rivian is the largest IPO this year and the 12th largest listing in history. The company's stock was priced above its expected $78 point and shares started trading at $106.75. Estimates are that Rivian will be valued anywhere between $70 and $98 billion, making it larger than GM ($85B) and Ford ($80B).
Key Details
- According to investors, Rivian is the perfect candidate to cash in on during the electric vehicle revolution. By the end of 2020 there were 10 million EVs on the road and by the end of 2030 that number is expected to be at least 145 million.
- Rivian fits this timeline well because they've promised to deliver 100,000 EVs to Amazon by 2025.
- In order to justify this value the company must deliver over one million vehicles by the end of the decade said David Trainer, a research firm CEO.
Additional Thoughts
"Rivian's order flow and backing from Amazon are key validating signals for investors," said PitchBook senior emerging technology analyst Asad Hussain.
Read more
Rivian Reaches $98 Billion Value With Jump in Trading Debut via Bloomberg
Rivian will start trading today after an I.P.O. valuing it at nearly $70 billion via New York Times
Jim Cramer on Tesla dip: Investors need cash ahead of Rivian IPO via CNBC Television
Exclusive 2022 Rivian R1T Review: first full performance track test, 0-60, EV range via Edmunds
