Rivian Automotive, Inc. (RIVN) stock is soaring 8.45% in intraday trading, reaching a new 52-week high as investors react positively to a newly approved CEO compensation plan. The electric vehicle maker's board has greenlit a 10-year, performance-based package for CEO RJ Scaringe, potentially worth up to $4.6 billion if all milestones are met, signaling strong confidence in the company's long-term strategy.

The new compensation plan, dubbed an "Elon Musk-style" package, is heavily tied to ambitious stock price targets ranging from $40 to $140 over the next decade. It also includes new operating income and cash flow goals, replacing a previous plan with higher, less likely strike prices. This development comes as Rivian prepares to roll out its new, more affordable R2 SUV and following the recent spin-off of its industrial AI unit, Mind Robotics, which secured $110 million in external seed funding.

The market's enthusiasm is further bolstered by Rivian's strong third-quarter performance reported last week, with revenue beating expectations at $1.56 billion, up 78% year-over-year. The company also achieved its first-ever consolidated gross profit of $24 million. Despite mixed analyst ratings, investors appear focused on Rivian's operational momentum, as reflected in the stock's strong performance and high trading volume.