Benzinga - by Shanthi Rexaline, Benzinga Editor.
Shares of Rivian Automotive, Inc. (NASDAQ:RIVN) climbed in premarket trading on Thursday even as industry peers are moving mostly lower.
The relative outperformance comes as the Irvine, California-based company prepares to launch its second-generation, more affordable R2 platform electric vehicle. The launch event, to be held at Laguna Beach, California, is scheduled to start at 1 p.m. ET on Thursday and will be live-streamed to a global audience as well.
The upcoming R2 platform could appeal to price-sensitive customers as EV adoption slows. Rivian has struggled along with its startup peers due to softer demand and problems with production ramp-up. The price competition in the industry has also served as a pushback. The company lost about $94,912 per EV it sold in 2023.
The new R2 EV is likely to be priced between $45,000 and $50,000 and will compete with Tesla’s Model Y SUV. Tech specifications leaked showed a range of 300 miles and a 0-560 mph acceleration time of three seconds.
In premarket, the stock climbed 2.63% to $11.32, according to Benzinga Pro data. The stock has shed a whopping 53% for the year-to-date period.
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