Rivian, the Government Unicorn – WSJ

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We live in the age of free money and endless government subsidy, which is the only way to explain the $100 billion public stock offering by Rivian this week. The electric truck maker has delivered a mere 156 vehicles, but investors are betting government won’t let it fail.

Twelve-year-old Rivian is being hailed as the next Tesla. Yet when Tesla went public in 2010 it reported $93 million in revenue and was valued at $1.7 billion. Rivian’s sales are almost all to its own employees and it projected at most $1 million in revenue in the third quarter. On Wednesday it nonetheless raised nearly $12 billion. Shares later surged as euphoric investors rushed in, and at $120.5 billion Rivian is the fifth largest auto maker in the world by market value. Ponder that one.