Will Rivian Match Teslas Stock Market Performance?
By Matt Honeycutt 11/16/2021
The Rivian IPO has become a huge event, not only in the largest IPO valuation since 2014 but also as a popular alternative to the now expensive $TSLA stock currently trading at 1050 per share! So my question is this, Will Rivian show similar progression as Tesla has, or is this the time to dump the stock and not greedy? Lets review:
Rivians IPO was launch at 106.75 per share, keep in mind Ford ($F) is at 19.83. and GM is at 62.67. So how is it that $RIVN is valued at such a high amount?
The backing of both Ford and Amazon helps. Ford will be using Rivian to help power its first Lincoln electric SUV and Amazon has ordered 100,000 Rivians to be built for delivery service by 2030 with as much as 10,000 operational by the end of next year. Those are huge number to fill yet it still doesn't paint the full picture. Tesla has become successful so quickly due to Elon Musks incredible determination and intelligence with a well thought plan and time range for consumers to follow. Transparency well as optimizing the electric car to become more than an alternative means of transport but quickly changing the minds of the average consumer in to allowing the idea of an electric car being a desirable luxury and affordable purchase.
Looking at the chart:
We can see that even though RIVN is breaking through highs, it is also having higher lows and finding support. The RSI isnt even overbought and has been failry consistent.
I find myself asking if Rivian will be around in the next 5 years, I believe so, with such partners like Ford and Amazon backing them up, I do believe that even at a 54% gain we can expect a large increase in share price and the future of this company looks good. Tesla during its IPO was valued at 17$. The world now can see the power behind an entire industrial shift and so we see the emergence of a strong player and ask ourselves: Should I sell? Should I wait?
If history repeats itself then maybe we could see similar four digit percentage return similar to $TSLA
Full disclosure, I purchased shares during on the IPO date and intend to hold for 5 years.
That being said. I will read this in 5 years and update this article. See you in 2026
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