Rivian Files IPO, reports 48,390 Pre Orders

[Ogre]

He gets very little actual salary. So when they trot out the 40,000x number, it's by the fact that he got all the stock options in a single year once he qualified, and pulled nothing the other fifteen years.

-Crissa

But... he has a private jet the company pays for. (Oddly modest) Housing which likely the company pays for. Hotel stay, car rentals (or the Cybertruck brought to him), food...

Musk earns "nothing" and doesn't sell shares... but lives quite well for it.

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[Ogre]

Addendum. It's hard to argue Musk is over-compensated though.

Unlike a lot of CEOs who pull 10s of millions in salary while their companies go sideways or even upside-down and do little to no public good. Musk has provided massive returns for investors and arguably has been a net benefit to humankind.

 

[Crissa]

Yeah, he specifically doesn't take pay when they're not taking a profit. Even though on paper he has to have a minimum wage to qualify as 'salaried' in California.

(I wonder if we should exempt execs? We add3ed that because many companies were turning employees into salaried 'managers' at minimum wage but then paying them no overtime.)

He reportedly dislikes the expense of hotels and he the tiny home he lives in currently is like super-cheap Boxabl that he rents from SpaceX. Rents, it's not a perk.

The jet flies places without him, so I assume they use it for other things.

-Crissa

 

[DallasEd]

Scam
1 Rivian tank turn
2 Rivian truck sale
3 Rivian 1st factory empty
4 Rivian 2nd factory
Now
$2 Billion loss each year
My only hope is it is a $8 Billion IPO and the cost of the IPO $4 Billion and in
2 years from today Rivian stages a investor mtg and share holder leter
With out further funding we Rivian will fold!
so
Earths BEV money losses are only in the $10-$20 Billion range on 3rd scam BEV company.

 

[Ogre]

Scam
1 Rivian tank turn
2 Rivian truck sale
3 Rivian empty factory
4 Rivian 2nd factory
Now
$2 Billion loss each year
My only hope is it is a $8 Billion IPO and the cost of the IPO $4 Billion and in
2 years from today Rivian stats with out further funding we will fold
so
Earths BEV money losses are only $10 Billion on a scam BEV company.

If we are going to talk scams and crimes Rivian is accused of, you should probable throw in there offering cash incentives to new hires to steal trade secrets.

 

[Ogre]

I might buy a few shares, but with only 100 trucks on the road it’s pretty tough to commit when the IPO valuation is so high.

I like to invest in people who have vision. Does RJ Scaringe have vision? So far his vision is “Clone Tesla’s business model only with trucks”. I don’t see anything coming from them about how they are going to come out ahead here.

Am I missing something?

 

[Crissa]

Give 'em time. They're so far behind Tesla in development curve the pace they're moving is honestly still pretty amazing.

-Crissa

 

[Ogre]

Give 'em time. They're so far behind Tesla in development curve the pace they're moving is honestly still pretty amazing.

-Crissa

The pace they are moving is pretty amazing. But there are good reasons why Tesla was the only successful new auto company in the US in 80 years (100?). Capital requirements are massive, supply chain logistics are super complicated, entrenched competitors have huge advantages.

The only reason I think Rivian has any real chances and is perhaps worth a gamble is because Amazon is so deeply invested in them and has committed to ordering a pretty large fleet from them. Even then it’s not clear how deep that commitment is and once the stock is on the open market, Amazon could liquidate their shares, destroying the market value of Rivian and melting away their one big competitve advantage.

Again… I’m seriously considering buying a few shares. Just pointing out the risks here.

 

[John K]

If Musk wants to pay himself more money, he just needs change directive to start paying stock dividends.

 

[Ogre]

If Musk wants to pay himself more money, he just needs change directive to start paying stock dividends.

What does Musk need more money for?

He doesn’t collect yachts or mansions… or rather, he’s sort of graduated from that stuff. As Crissa pointed out, he lives pretty modestly.

I’m pretty sure he can live on the proceeds from all the houses he sold over the past few years.

 

[John K]

What does Musk need more money for?

He doesn’t collect yachts or mansions… or rather, he’s sort of graduated from that stuff. As Crissa pointed out, he lives pretty modestly.

I’m pretty sure he can live on the proceeds from all the houses he sold over the past few years.

There are Creative ways in compensation. Position on dividends are clear, no payout, money is reinvested into the company and R&D

 

[Ehninger1212]

Im excited about Rivian and excited about the IPO. I think its a bit premature for them, But not as premature as almost all other EV startups going public.

If they came out with a lower priced truck they would deff be on my Radar.

 

[Diehard]

Im excited about Rivian and excited about the IPO. I think its a bit premature for them, But not as premature as almost all other EV startups going public.

If they came out with a lower priced truck they would deff be on my Radar.

Once they get a hang of manufacturing, done with ramp up and burn through preorders, they will have to come up with lower priced EVs to use up their capacity. Right now they are telling their reservation holders, their October deliveries is pushed back to February due to supply issues so it may be a while before sales, delivery and service is a smooth operation nationally. If they can raise some money with IPO, they can afford to be patient. I like the company and I am given the first crack at the stock but I may skip it. It may do OK but I don’t see Tesla kinda growth.

 

[Ogre]

Once they get a hang of manufacturing, done with ramp up and burn through preorders, they will have to come up with lower priced EVs to use up their capacity. Right now they are telling their reservation holders, their October deliveries is pushed back to February due to supply issues so it may be a while before sales, delivery and service is a smooth operation nationally. If they can raise some money with IPO, they can afford to be patient. I like the company and I am given the first crack at the stock but I may skip it. It may do OK but I don’t see Tesla kinda growth.

I would sure love to hear from Scaringe what their plan is to make a profit in this market is. The current route they seem to be on is pretty bland and I don’t think they have a strong enough competitive advantage to make it. Tesla stole a march on the industry because they thought EVs were a joke (often literally) and by the time they figured out otherwise, Tesla was producing hundreds of thousands of cars/ month.

Rivian can’t sneak a march. The niche they are pushing for is actively being pushed into by major auto companies. Rivian has no manufacturing cost advantages. In fact Ford and Tesla have significant manufacturing leverage over Rivian due to existing product lines. Even their “First eTruck on the market“ advantage seems to be slipping.

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