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Investing.com -- Rivian Automotive (NASDAQ:RIVN) stock surged as much as 9% on Tuesday, reaching its highest intraday level since July 2024, after the electric vehicle maker announced a $4.6 billion pay package for its CEO.
The significant compensation plan, disclosed in an SEC filing on Friday, is contingent upon the company achieving several ambitious benchmarks over the next decade.
Barclays analyst Dan Levy characterized the pay package as a "positive development" for Rivian in a Monday note, though he indicated a preference for milestones that better balance share price performance with fundamental business metrics.
The compensation structure appears to be modeled after similar performance-based packages seen at other companies, notably Tesla, where CEO Elon Musk received a landmark compensation plan tied to ambitious growth targets.
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