Electric cars have been in vogue for a few years now, ever since Elon Musk came along and disrupted the automotive industry with the Tesla range of cars.
The response from the established car manufacturers was to quickly adapt their ranges of cars and SUVs toward plug-in hybrid and fully electric power units, and in many cases launch new models which are different to their traditional range and designed to be fully electric from the ground up.
Popularity of electric and hybrid cars has been so great that many car manufacturers are now forging ahead with an electric-only plan for the future of their model ranges.
Naturally, as electric cars have become popular, the next evolution would be electric trucks, and Rivian Automotive, a company which was founded 13 years ago making it a fledgling in the auto industry, is majoring in that direction.
Its range of electric trucks was recently launched, and led to the company listing on the NASDAQ exchange. Since then, it has been a stock which has been interesting to those with a leaning toward innovative new technology and new market entrants.
Yesterday, Rivian Automotive's stock rose in value by a staggering 17.18%, which even by EV manufacturer standards, is a significant amount of price movement.
There has been no news which could have possibly caused such a sudden spike in the price of Rivian stock, only that investor confidence has been building as the motor industry begins to give the company's product a degree of recognition. For example, Rivian's R1T is the first-ever all-electric pickup truck, and it won MotorTrend's Truck of the Year award for 2022 beating even the all-electric version of America's best selling vehicle, the Ford F150.
Many car manufacturers around the world are facing supply chain challenges, and Rivian is no exception however the company has stated that it intends to manufacture 25,000 units this year and is on target to be able to deliver that amount, and is well funded enough to continue its business operations without hindrance.
Additionally, the company has a large cash position and is able to expand operations and grow its range without borrowing further, which is a positive point in the eyes of shareholders and investors.