What happened
Shares of Rivian (RIVN 2.84%) are making big gains in today's trading. The electric vehicle (EV) company's stock was up roughly 7.5% as of 3 p.m. EDT Wednesday. Meanwhile, the S&P 500 index climbed roughly 1%, and the Nasdaq Composite index was up roughly 1.9%.
Growth-dependent stocks have seen volatile trading recently, and the market has seen big swings this week. While there doesn't appear to be any fresh, business-specific news driving the company's share price higher, Rivian is benefiting from an uptick in bullish sentiment lifting the broader market.
Image source: Rivian.Media-Rivian Newsroom.
So what
After a day of dramatic sell-offs on Monday, yesterday's trading delivered some rebound momentum, and the recovery has been even stronger Wednesday. Rivian published an update last week announcing that it had produced 2,553 electric vehicles in its recently completed first quarter and that it was on track to meet its goal of delivering 25,000 vehicles this year. The combination of positive momentum for the market today and recent indications that the business is making encouraging progress are prompting big gains for the stock.
Now what
Rivian's business has just recently started ramping up significantly, with the $54 million in sales that it posted in last year's fourth quarter pushing full-year revenue to $55 million. Investors won't have to wait long to get a more detailed look at Rivain's business operations and outlook. The company recently announced that it will be publishing its first-quarter earnings results and hosting a conference call after the market closes on May 11.
The company now has a market capitalization of roughly $37 billion and is valued at approximately 19 times this year's expected sales.
