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Core Viewpoint - The electric vehicle (EV) sector, particularly Rivian Automotive, is experiencing a potential turnaround after a significant downturn, with Rivian's stock showing signs of recovery despite ongoing unprofitability [1][2]. Company Overview - Rivian remains unprofitable but has substantial backing and plans to expand its manufacturing capabilities throughout the decade [2][8]. - The current stock price is approximately $15 per share, having rebounded from previous lows, but it has remained in a similar trading range since late 2022 [2][10]. Product and Market Position - Rivian launched its R1 models in 2022, which include a premium SUV and truck, alongside commercial delivery vans for clients like Amazon [2][3]. - The R1 models are well-received but have not achieved widespread adoption due to their high price points, starting at $75,000 [3][4]. - Quarterly deliveries peaked in 2023 but have since declined, with Rivian delivering just over 10,000 vehicles in the last quarter, indicating a small market presence [3][5]. Expansion Plans - To address delivery challenges, Rivian is expanding its Illinois factory and has begun construction on a new facility in Georgia, aimed at producing more affordable R2 and R3 models [4][5]. - Achieving scale is crucial for profitability, as competitors like Tesla only became profitable after reaching significant delivery volumes [5][10]. Financial Projections - Rivian's current revenue stands at $5 billion, with potential growth in quarterly deliveries to over 50,000 if R2 and R3 production scales successfully [7][10]. - This could lead to projected annual revenue of around $20 billion and net earnings of approximately $1 billion by the end of the decade, assuming a profit margin between 0% and 10% [7][10]. Valuation Insights - Rivian's market capitalization is currently $17.7 billion, and traditional valuation methods based on earnings or cash flow are not applicable due to negative figures [6][8]. - If Rivian can successfully scale production and achieve positive earnings, it may improve its financial standing significantly [8][10].

Group 1 - Rivian Automotive and Lucid Group are two start-up electric vehicle companies that emerged during a growing EV market, but their paths to sustainable success are uncertain [1][2] - Lucid focuses on the luxury segment with high-priced models, while Rivian targets the electric pickup truck and SUV market, indicating different consumer strategies [2][4] - Lucid's high starting price for its Air sedan, over $70,000, limits its market reach, and its production expectations for 2025 are only between 18,000 and 20,000 vehicles [4][5] Group 2 - Lucid's slow ramp-up in production and sales has contributed to its stock struggles, with significant operational losses of approximately $1.5 billion in the first half of 2025 [6] - Despite current losses, Lucid has financial backing from Saudi Arabia's sovereign wealth fund and a recent $300 million investment from Uber, which will support a luxury robotaxi program [7] - Rivian appears to be better positioned for long-term survival and growth compared to Lucid [8]

Key Points Canaccord analyst George Gianarikas has high expectations for Rivian stock. The launch of its first affordable, mass-market EVs could be game-changing for the automaker. The company may soon reveal what it has been working on in the areas of autonomous driving and artificial intelligence. 10 stocks we like better than Rivian Automotive › Wall Street analysts are far from unified in their views of Rivian (NASDAQ: RIVN) stock. Some think shares will sink by 50% over the next 12 months. O ...

Group 1: EV Sales Performance - The expiration of the $7,500 federal tax credit led to a surge in EV sales as consumers rushed to purchase vehicles before the deadline [2] - Tesla achieved its best quarter ever with 497,099 vehicle deliveries, marking a 29% increase from the previous quarter and a 7% increase year-over-year [2] - Other automakers like Ford, General Motors, and Hyundai also reported record quarterly EV sales, while Rivian's deliveries increased to 13,201 vehicles, up from 10,661 in the second quarter [3] Group 2: Future Sales Outlook - There is uncertainty regarding how automakers will manage potential declines in EV sales following the tax credit expiration, with Rivian already lowering its guidance for 2025 [3] - Automakers face challenges in managing inventory as new 2026 models arrive, aiming to maintain profit margins without incurring deeper losses [4] Group 3: Clean Energy Project Cancellations - The Department of Energy canceled 321 clean energy projects, totaling $7.56 billion in lost grants, with California losing the most at $2.2 billion [6] - Other states like Colorado, Illinois, Massachusetts, Minnesota, New York, and Oregon also faced significant losses, ranging from $300 million to $600 million each [6] - The cancellations suggest a potential shift in government reliability as a partner for businesses, particularly affecting small startups [8]

Core Viewpoint - Rivian Automotive's stock has declined following a report of quarterly deliveries and a reduction in its full-year outlook, as the market reassesses demand dynamics influenced by tax-credit changes [1][2] Delivery and Production Performance - Rivian delivered 13,201 vehicles in Q3, representing a 32% increase year-over-year and surpassing analyst expectations, while production was lower at 10,720 units [4] - The company has narrowed its 2025 delivery guidance to a range of 41,500 to 43,500 units, indicating a belief that the previous high-end target is no longer achievable despite a strong Q3 performance [5] Market Dynamics and Guidance Changes - The expiration of the $7,500 federal tax credit for electric vehicles on October 1 has removed a significant demand driver, contributing to uncertainty in demand and costs for the remainder of the year [6] - Rivian's management has indicated a relatively light fourth quarter compared to last year's 14,183 deliveries, reflecting the impact of changing market conditions [5][6] Financial Outlook - The company is working towards sustained profitability, having achieved its first positive gross profit in Q4 2024, with a noted reduction of $31,000 in automotive cost of goods sold per vehicle delivered compared to Q4 2023 [7] - Management has guided for "modest" gross profit in 2025, setting expectations for future financial performance [7] Stock Valuation - Following the recent stock decline, Rivian's valuation appears more reasonable, suggesting a reassessment of its growth potential in light of the latest developments [8]

Key Points The U.S. government eliminated several key industry subsidies. Lucid, Rivian, and Tesla will all face harsh consequences. These 10 stocks could mint the next wave of millionaires › Earlier this year, electric car stocks across the board saw sharp declines after the U.S. government revealed that several critical EV subsidies would be eliminated. Since then, however, most of those initial losses have been erased. Yet the effect of these subsidies being eliminated remains. If you have mone ...

Key Points A key federal tax credit was just eliminated. Sales for Rivian's R2 model may be below expectations. 10 stocks we like better than Rivian Automotive › Rivian (NASDAQ: RIVN) should have an exciting year ahead. Recently, hundreds of R2s -- Rivian's newest model -- were seen driving the streets of the U.S. Official production should begin in early 2026, giving buyers their first chance to buy a Rivian priced under $50,000. When Tesla introduced its first affordable models -- the Model Y and ...

Rivian is looking at a potentially major transformation in its business over the coming months.Rivian Automotive (RIVN 0.85%) is expected to announce earnings in early November. If you've been eyeing this electric vehicle stock, now may be a key moment to buy it at a discount. That's because Rivian is about to reach an important growth catalyst. This will perhaps be the biggest in its history. Let's learn what that is and whether now it a good time to invest in the EV maker. Expect important updates to arri ...

It's not often that you can buy a growth stock at a value price.There is a surprising amount of debate over the difference between value stocks and growth stocks. Typically, growth stocks are defined as companies with high growth rates that are priced at high valuation multiples. Value stocks, on the other hand, typically have lower growth rates and trade at more modest valuation multiples.But as Warren Buffett has often said, price is what you pay, value is what you get. By this definition, a value stock i ...