Why Rivian Stock Is On Fire Today

Shares of Rivian Automotive (NASDAQ: RIVN) catapulted this morning, surging 23.8% within minutes of the start of trading. The electric vehicle (EV) stock was trading 19% higher as of 10:45 a.m. ET Wednesday.

Amid all of its struggles in recent years, the biggest hope for Rivian has been its collaboration with Volkswagen Group, which has backed the EV maker's technology and is an investor. Yesterday, the two companies struck their biggest deal yet, forming a multibillion-dollar joint venture (JV) that could turn Rivian's fortunes around.

In June, Rivian announced plans for a JV worth up to $5 billion with Volkswagen and said it expected to form the JV by the fourth quarter of 2024. Rivian just confirmed the much-awaited deal.

Source Fool.com