Rivian Stock Jumps 18% As Investors Cheer Earnings Beat And CEO Pay Deal

Rivian stock has surged more than 18% this week after the EV maker topped Wall Street’s earnings expectations and unveiled a new pay package for founder and CEO RJ Scaringe that could be worth up to $4.6 billion. Shares climbed 9.6% on Tuesday to $17.99, extending a rebound that has seen the stock rally more than 45% from its early-November low.

Stronger earnings and Volkswagen partnership fuel rebound

Rivian’s third-quarter report injected optimism back into investors. The company posted $1.56 billion in revenue and a loss of 65 cents per share, both ahead of analyst estimates. Executives credited a $167 million gross profit boost to its software joint venture with Volkswagen, which has pledged to invest over $5.8 billion to co-develop next-generation EV software.

The upbeat report helped reverse a prolonged slide that had sent Rivian shares down 95% from their 2021 IPO peak, according to Forbes. The company’s improved cost discipline, higher production efficiency, and software-driven revenue streams have started to change market sentiment, analysts noted.

Scaringe’s $4.6B pay package aims to align with shareholder gains

Rivian also announced a major compensation overhaul for Scaringe, doubling his base salary to $2 million and granting options for up to 36.5 million shares. About 22 million of those are tied to performance milestones, unlocking only if Rivian’s stock price hits targets ranging from $30 to $140.

Barclays analyst Dan Levy called the new plan a “positive development” that aligns better with shareholder outcomes, while Mavka Capital’s Vitaly Golomb said it’s far more “reasonable” than Elon Musk’s controversial $1 trillion Tesla award. Rivian suggested that meeting the new milestones could generate more than $150 billion in shareholder value.

As Rivian continues scaling production of its $45,000 R2 electric SUV in Illinois, investors see signs the company is regaining its footing in the competitive EV space it once shared with Tesla.

EV.com tracks the evolving EV collector space and performance electric vehicles hitting the market. Explore our listings to find the best EVs in your area available today.