Shares of electric vehicle maker Rivian rose again on Friday, despite Tesla’s billionaire CEO Elon Musk pouring cold water on investor enthusiasm about the young company, saying it has yet to face a “true test”.
Rivian stock rose more than 4% to nearly $128 in early afternoon trading, building on its strong gains from a day earlier, when it gained more than 22%.
On Wednesday, electric vehicle maker went public in the biggest US IPO since Facebook at a valuation of $90 billion, with its share price rising nearly 30% to nearly $100 on its first day of trading.
Tesla CEO Elon Musk on Thursday tweeted That the “true test” of Rivian would be achieving high production and break-even cash flow.
Although he wished the rival electric vehicle maker the best, Musk also ToldThere have been hundreds of automotive startups, both electric and combustion, but Tesla is [the] The only US carmaker to reach high volume production and positive cash flow in the past 100 years.
Rivian’s massive IPO is in stark contrast to original electric vehicle disruptor Tesla, which went public in 2010 at a valuation of about $1.6 billion.
Tesla just raised $200 million in its IPO, while Rivian raised nearly $12 billion earlier this week.