Rivian Electric Vehicles StockĀ (RVII) is up more than a quarter since its debut in early 2014. It's a company with a lot of potential. Although the target market for electric vehicles is still not completely clear, the company has managed to raise more than US$1.3 billion in its first round of funding. And it plans to roll out more fast-charging stations for its vehicles.

Delivered 4,467 vehicles in the quarter

Rivian Electric Vehicles delivered 4,467 vehicles in the quarter, a big jump from the 3,417 units it produced in the previous quarter. It's clear that Rivian is back on track, though it's still facing a number of challenges.

Rivian is still battling supply chain problems. The company has a large number of pre-orders for its R1T electric pickup truck and R1S electric SUV, but it's not yet ready to meet those demands.

Although it has a unique quad motor platform, it's still not at scale to achieve the efficiencies it seeks. However, it is starting to produce revenue, and is leveraging its commercial relationship with Amazon.

Rivian's stock has recovered somewhat, and has jumped 13% after the release of the Q2 numbers. But it's still not cheap. Rivian expects to burn through $700 million in cash before the end of the year.

As the new climate bill could exclude pricier EVs from the $7,500 tax credit, Rivian will have to make do with higher operating costs, which may not be easy.

Raised US$1.3 billion in a round led by T Rowe Price

Rivian Electric Vehicles is an American company that focuses on creating all-electric trucks and SUVs. It is based in Irvine, California. The company's first two products, an electric pickup truck and a sport utility vehicle, were unveiled in November 2018.

In September, Rivian announced plans to build a $5 billion battery plant east of Atlanta. This facility will help it produce more than 100,000 all-electric delivery vans for Amazon.

Rivian has been able to beat industry mainstays such as Ford and General Motors in fundraising. This was made possible by a number of investors. These include BlackRock, T. Rowe Price, and Amazon. Other investors included Third Point Ventures and Dragoneer Investment Group.

At the end of 2016, Rivian had a workforce of around 100 people. However, Rivian is now projected to hire more than 3,000 employees.

Rivian has been working closely with Amazon to design and build delivery vans. They will be tested on public roads in early 2021. When the vehicles are ready, Rivian will begin manufacturing them.

Target market may not be receptive to EVs

Rivian Electric Vehicles has an impressive line-up of cars, trucks, and SUVs. But the company's target market may not be ready for an all-EV future.

In fact, a recent survey from Consumer Reports found that Americans aren't exactly sold on the idea of owning an EV. Six in ten aren't sure that they'll ever buy one.

However, that's not to say that all consumers are in the dark about the benefits of electrification. A Morning Consult survey found that nearly 19 percent of US adults would consider purchasing an electric vehicle.

In addition, Rivian's pickup truck, which costs $67,500, has an off-road capability that might attract buyers. It also has a 315-mile range and can tow 7,700 pounds.

Rivian recently partnered with Mercedes-Benz, but the two companies have decided to part ways. That means Rivian has a better shot at securing a foothold in the EV pickup truck market.

Rivian recently reaffirmed its revised 2022 production goal of 25,000 vehicles. And the company is confident that it will reach its goals.

Fast-charging stations are in the pipeline

Rivian, a California-based manufacturer of electric vehicles, recently raised $2.5 billion to continue development. The company plans to expand its factory and add new models to its lineup. Rivian is also building two charging networks to support its products.

One of the networks, called Waypoint, will be similar to the Tesla Destination network. It will be located in parks, hiking trails and highways. Another, known as Rivian Adventure Network, will be installed at popular recreational destinations along interstates.

There are more than 52,000 public charging stations in the U.S. However, only about one-third of the proposed projects have been approved. To secure federal funding for charging stations, states need to demonstrate the potential economic benefits of the charging stations.

A major source of state funding for charging infrastructure is heavily oversubscribed. In Tennessee, for example, there are 20,000 electric vehicles on the roadways and a plan to convert 50 percent of its system fleet to electric vehicles by 2030.

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