What happened

Rivian Automotive (RIVN 2.44%) stock jumped 9.1% at its highest point in trading this week, according to data provided by S&P Global Market Intelligence. The electric vehicle (EV) stock has had a lot going for it these past few days.

So what

Earlier in the week, Barclays analyst Dan Levy initiated coverage of several auto stocks, including Rivian. Levy projected EV penetration in the U.S. to hit 48% by 2030 and singled out two companies in particular that could benefit from the EV boom: Tesla (TSLA 0.66%) and Rivian.

Although the analyst says Tesla stands out for its leadership in the industry and its financial strength, Levy also believes Rivian is not far behind Tesla and is positioned to gain a "solid share" in North America's EV market thanks to its moats in technology and product. Levy gave Rivian stock a price target of $28 a share.

A day later, the Biden administration announced the final rules for the network of 500,000 EV chargers that it plans to build in the U.S. under its Bipartisan Infrastructure Law. That also means the administration could soon begin rolling out the $7.5 billion in federal funding that it outlined for the EV charging network last year.

The announcement also named several companies that will support the roll-out of EV chargers, including Tesla. The company will open a part of its charging network to non-Tesla EVs, making 7,500 or more of its chargers accessible to all EVs by the end of 2024.

All of this, of course, bodes well for the EV industry, and access to Tesla's charging stations could, in particular, boost sales of other EVs such as those from Rivian.

Investors in Rivian cheered the development. And they found yet another reason to bid the stock higher after Ford announced it was halting the production and shipment of its hot-selling all-electric F-150 Lightning pickup trucks because of a potential battery issue. The F-150 Lightning competes with Rivian's R1T pickup.

Now what

With Rivian set to release its fourth-quarter numbers on February 28, it's not surprising to see positive developments in the industry boosting the share price this week. Rivian, though, has its own set of challenges to tackle, and that's something investors will want to keep an eye on when the EV maker reports its earnings. For example, Rivian is burning through cash rapidly and produced just 24,337 vehicles and delivered 20,332 in 2022.