[ad_1]
Amazon-Backed Rivian Seeks a $60 Billion Valuation
Rivian Automotive, an electrical automobile startup backed by Amazon (AMZN), is planning to go public subsequent week. It would commerce on the Nasdaq underneath the ticker “RIVN.” It’s a busy yr for IPOs. To this point this yr, firms making their public debut within the US have already raised over $268 billion. The Rivian deal has been probably the most extremely anticipated but.
The corporate is concentrating on a valuation of simply over $60 billion. For context, Honda (HMC) has a valuation of about $53 billion and Ford’s (F) valuation is about $71.6 billion.
The Rise of EVs
Rivian has posted vital losses, and till lately it was not producing income. However this doesn’t appear to be dampening Wall Road’s enthusiasm. Many traders are keen to place cash into the rising EV trade nonetheless they’ll.
Around the globe, gross sales of EVs greater than doubled between this previous September and September 2020. EVs presently account for about 9% of complete autos bought. As lawmakers and customers change into extra acutely aware about curbing emissions from conventional autos, demand for EVs is anticipated to proceed rising.
Sufficient Investor Demand to Go Round
Rivian is becoming a member of a bevy of different EV firms on the inventory market. The Swedish automotive firm Volvo (VLVLY), which has shared plans to transition to solely making EVs over the following decade, made its debut final week. Lucid (LCID) went public through a merger with an SPAC over the summer season.
In the meantime, Tesla (TSLA), a extra established participant within the EV market, lately noticed its valuation surpass $1 trillion, turning into the sixth firm ever to realize this milestone. Although the EV market is crowded, evidently no less than for now there may be sufficient investor curiosity to go round.
Please perceive that this data offered is common in nature and shouldn’t be construed as a advice or solicitation of any merchandise supplied by SoFi’s associates and subsidiaries. As well as, this data is certainly not meant to supply funding or monetary recommendation, neither is it meant to function the premise for any funding resolution or advice to purchase or promote any asset. Remember the fact that investing entails threat, and previous efficiency of an asset by no means ensures future outcomes or returns. It’s vital for traders to contemplate their particular monetary wants, objectives, and threat profile earlier than investing resolution.
The data and evaluation offered by means of hyperlinks to 3rd occasion web sites, whereas believed to be correct, can’t be assured by SoFi. These hyperlinks are offered for informational functions and shouldn’t be considered as an endorsement. No manufacturers or merchandise talked about are affiliated with SoFi, nor do they endorse or sponsor this content material.
Communication of SoFi Wealth LLC an SEC Registered Funding Adviser
SoFi isn’t recommending and isn’t affiliated with the manufacturers or firms displayed. Manufacturers displayed neither endorse or sponsor this text. Third occasion logos and repair marks referenced are property of their respective house owners.
SOSS21110303
[ad_2]
Source link