From Nasdaq: 2024-05-03 12:55:53

Rivian’s stock jumped after receiving a significant incentive package from Illinois, allowing them to expand their EV manufacturing plant. They plan to save $2.25 billion in expenses by building their R2 vehicle in Illinois. This move will increase plant capacity to 215,000 units and prepare for the R2 SUV launch.

The $827 million grant from Illinois will help Rivian in their expansion plans and conserve capital for their Georgia plant construction. The R2 SUV, priced at $45,000, aims to compete with Tesla’s Model Y. Investors reacted positively, pushing Rivian shares up over 10% this week before their upcoming earnings report on May 7.

Rivian Automotive has seen a recent stock boost but did not make the Motley Fool’s list of the 10 best stocks to buy now. Despite this, their success could mirror Nvidia’s growth if they can navigate the rapidly evolving EV market. Stock Advisor offers investors insights and recommendations for building successful portfolios.



Read more at Nasdaq: Why Rivian Shares Popped Friday