Want to Buy Rivian Stock? Here's a Safer Way to Own the EV Start-Up.
The sky-high and unsustainable electric vehicle (EV) bubble of 2021 is long gone, but interest in many of these start-ups is making a comeback. Rivian (NASDAQ: RIVN) is one of them. The maker of electric pickup trucks still garners lots of attention, even though it's far from turning any semblance of a profit.
But there's a far safer way to invest in Rivian: Amazon (NASDAQ: AMZN). As of the end of the first quarter of 2023, the e-commerce and cloud giant still owned 17% of Rivian's shares outstanding (valued at about $2.36 billion as of this writing). I believe the vast majority of investors would be much better off owning Amazon than Rivian. Here's why.
Amazon the EV investor dates back to 2019 when it pledged to buy 100,000 electric delivery vans from Rivian through the end of this decade. By the time Rivian had its initial public offering (IPO) in 2021, it revealed that Amazon had become Rivian's largest shareholder as a result of this partnership.
Source Fool.com
