Automotive
Electric vehicle manufacturer focused on adventure trucks and SUVs, plus Amazon delivery vans.
View forensic reportA report this week that Rivian is pitching major carmakers on software platform deals reframes the company from vertically integrated EV maker to software licensor. The Volkswagen joint venture was the template; the next deal could be the inflection.
At negative 68% profit margins and $3.7 billion in annual operating losses, Rivian needs $10-15 billion in additional capital while the market prices it at $20 billion.
Rivian just posted positive gross margins for the first time while EV sales fell 11% industry-wide. The Volkswagen JV and R2 platform launch change the survival calculus.
At 3.5x revenue with gross margins improving 28 percentage points in two years and the R2 entering production in 2026, Rivian's $19B market cap prices in permanent failure that isn't coming.