EV maker Rivian’s stock surged more than 13% for the week, contrasting with a 15% decline over the past 12 months. Reason? Its newly launched R2 SUV received over 68,000 reservations within hours of debut.
The R2 midsize electric SUV is expected to arrive in the first half of 2026 and costs $45,000. Analysts expect it to increase Rivian’s addressable market in the US to about 35%.
The Amazon-backed company also unveiled the R3 and R3X variants, with the R3 expected to be cheaper than the R2.
Surprisingly, it paused construction of its $5 billion Georgia plant, opting to produce the R2 in its existing Illinois factory. This move is expected to save $2.25 billion—a good thing considering the company lost $5.4 billion last year.
Despite a slower-than-expected rise in EV demand, Rivian’s market value increased by over $1.7 billion following the R2 launch event, bringing its total market value to $12.49 billion.
Analysts also suggest Rivian’s positioning in the SUV market could be advantageous, especially considering Tesla’s focus on other vehicle types.