The shares of electric vehicle startup Rivian have soared in its first two days in the market, leading to over $100 billion in market cap.
Rivian (RIVN) has been one of the best-performing stocks in the United States since it debuted earlier this week. The stock has added nearly 40% to its value over the past two days, with its market cap now topping the $100 billion mark.
Following its recent rally, Rivian's market cap has surpassed those of General Motors and Ford, two of the leading companies in the automobile sector. Rivian's market cap now stands at $104 billion, while Ford and General Motors have $77.7 billion and $88.9 billion, respectively.
Rivian's stock price currently stands at $122.99, up by 22.10% during the previous trading session. The electric vehicle startup is backed by Amazon and Ford. Amazon's 20% stake in the company is now worth over $20 billion, while Ford controls roughly $12 billion in Rivian.
The stock's rally comes as a surprise to investors and market analysts as it wasn't expected to perform this well during its debut period. Rivian expects to generate only $1 million during the fiscal third quarter.
Rivian is yet to have an established business model while the company hasn't mass-produced its fully electric pickup. However, the company has already started processing orders for its electric vehicles.
Amazon has ordered 10,000 of the pickup trucks to be delivered by 2030, and the company intends to use them in its delivery fleets. Following the latest rally, Rivian's CEO R.J Scaringe is now worth $2.2 billion.
Rivian intends to expand its innovation and development within the electric vehicle sector over the coming months and years. Despite its recent rally, Rivian is still far behind industry leader Tesla. Tesla is the leading electric vehicle manufacturer in the world and has a market cap of over $1 trillion.