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A big question on the minds of Rivian investors is what's driving the stock price up. After all, the stock has seen a surge in price in the last few days...

Rivian shares rose 13.3% this week through Thursday, according to S&P Global Market Intelligence. On Wednesday, Rivian announced an intriguing range for its new Enduro drive units. On Tuesday, soaring sales from a Chinese electric vehicle (EV) rival and optimistic inflation news boosted U.S. EV stocks.

The July jobs report from the Labor Department was issued Tuesday. It revised June statistics down and showed a substantial reduction in job openings in July.

Why would that be good? Because the U.S. has inflation and more job opportunities than unemployed. That has raised wages and services inflation. Thus, fewer employment openings may lower pay and inflation. That might allow the Fed to cease raising interest rates and possibly cut them, which would benefit long-term assets like Rivian. Growth stocks have most of their earning capacity in the future, and some may need additional capital to grow.

Rivian investors may have to wait longer for its bottom line to improve. Management invested $1.3 billion in production scaling last quarter, resulting in a significant operating loss.

On Wednesday, Rivian stated that its R1T electric pickup truck with the Enduro dual-motor drive unit had a 410-mile range. Management calls Enduro a performance breakthrough that uses fewer parts and minimizes expenses.

Going 400+ miles in a heavy-duty pickup truck is a nice accomplishment, but there are restrictions. Rivian's RT1 only reached those scores with the more expensive Max battery pack and 21-inch wheels. With its Large pack, the R1T's range reduced to 352 miles. With 22-inch wheels with a Large pack, range reduced to 341 miles.

Rivian should pursue its in-house Enduro motor unit because vertical integration will cut the cost of pricey EVs and differentiate the brand if it succeeds.

Rivian's substantial operating losses demonstrate that pursuit is costly. The promise of decreasing interest rates and major technology milestones boosted anticipation for this high-risk growth stock this week.

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