Better EV Stock: Rivian vs. Lucid

Core Viewpoint - Rivian and Lucid, once leading electric vehicle stocks, have significantly declined in value due to production challenges and financial losses, raising questions about their potential for recovery and investment viability [1][2]. Rivian Overview - Rivian offers three electric vehicle models: R1T pickup, R1S SUV, and an electric delivery van for Amazon [4]. - The company aimed to produce 50,000 vehicles in 2022 but only managed 24,337 due to supply chain issues, with production increasing to 57,232 in 2023 but dropping to 49,476 in 2024 [4][5]. - Rivian anticipates producing 40,000 to 46,000 vehicles in 2025, facing challenges such as higher tariffs and supply chain disruptions [6]. - Analysts project a 5% revenue increase to $5.24 billion in 2025, with expectations of narrowing net losses from $4.75 billion in 2024 to $3.38 billion in 2025 [7][8]. - Revenue is expected to surge 41% to $7.37 billion in 2026, contingent on the successful launch of the R2 SUV [9]. Lucid Overview - Lucid currently sells the Air sedan and the Gravity SUV, which launched in late 2024 after delays [10]. - The company significantly underperformed its delivery targets, with actual deliveries of 4,369 in 2022, 6,001 in 2023, and 10,241 in 2024 [11]. - For 2025, Lucid expects to produce about 20,000 vehicles, more than double its 2024 output, with revenue projected to rise 73% to $1.4 billion [12][13]. - Analysts forecast Lucid's revenue to nearly double to $2.73 billion in 2026, but the company still faces challenges with negative gross margins and a crowded luxury SUV market [14]. Investment Comparison - Rivian is viewed as a more attractive investment due to faster production ramp-up, lower losses per vehicle, and a cheaper stock valuation compared to Lucid [15].