In 2023, RIVN’s revenue was $4.43 billion, an increase of 167.43% compared to the previous year’s $1.66 billion. We’d like to share more about how we work and what drives our day-to-day business. Transparency is how we protect the integrity of our work and keep empowering investors to achieve their goals and dreams. And we have unwavering standards for how we keep that integrity intact, from our research and data to our policies on content and your personal data.
Rivian Automotive MarketRank™ Stock Analysis
Few other companies (let alone automakers) made as big of a public debut as Rivian (RIVN 6.10%). Raising more than $12 billion in 2021, Rivian’s IPO was the largest of any American company since Meta Platforms in 2014. It will be a long and winding road for Rivian to reach Tesla levels of success. The nature of EV manufacturing is capital intensive and often takes years to reach break-even levels of production. While disappointing hopeful investors, this decision will likely bode well over the long term. By choosing to further refine its business model on a smaller scale at its Illinois factory, it will help Rivian replicate at other factories in the future.
- Those quarterly losses were more than four times larger than the same quarter a year earlier.
- Ford, which has been focusing on expanding sales of EVs and has a nearly 12% stake in Rivian, saw its shares fall about 1% over the roughly three days of trading.
- There are currently 1 sell rating, 10 hold ratings and 13 buy ratings for the stock.
- By mid-2022 the company had delivered more than 8,000 vehicles with production ramping quickly.
Rivian goes public in one of the biggest IPOs ever
There are some potential headwinds forming in the EV market, such as weakened growth forecasts. That could spell trouble for an up-and-coming start-up like Rivian. New Rank-Based ScoringMarketRank™ is calculated by averaging available category scores (with extra weight given to analysis and valuation), then ranking the company’s weighted average against that of other companies.
About Rivian Automotive
The electric vehicle (EV) bubble is slowly bursting as I warned a few months ago. Now, according to Bloomberg, the sector is melting down in Europe, which is often seen as a key market. NEW YORK , April 25, 2024 /PRNewswire/ — Attorney Advertising — Bronstein, Gewirtz & Grossman, LLC, a nationally recognized law firm, notifies investors that a class action lawsuit has been filed ag… According to 23 analysts, the average rating for RIVN stock is “Buy.” The 12-month stock price forecast is $17.91, which is an increase of 98.12% from the latest price.
Solid Rivian (RIVN) Demand Despite Slowing E.V. Market
Insiders that own company stock include Claire Mcdonough, Jay T Flatley, Jeff Baker, Jiten Behl, Kjell Gruner, Motor Co Ford, Robert J Scaringe and Rose M Marcario. Rivian Automotive’s stock was trading at $23.46 at the beginning of 2024. Since then, RIVN stock has decreased by 61.5% and is now trading at $9.04. UBS analyst Joe Spak upgraded shares of electric-vehicle maker Rivian Automotive to Hold from Sell.
The next few years will be trying and a period where Rivian will have to prove if it’s a true contender or just another pretender. Rivian’s inability to generate income has forced it to utilize its cash position to sustain operations. Fortunately, its massive IPO helped bolster reserves, but in a matter of three years, its total cash position has been reduced by more than 60%.
It plans to sell non-delivery versions of its van to other customers within the next two years. It’s even searching for a location to build a second factory in addition to the one it operates in Normal, Illinois. Although Rivian’s stock has been utterly decimated, there is evidence that it is becoming more efficient as the company’s fixed asset-turnover ratio is growing at an impressive rate. Sitting at 1.06 today, the fixed asset-turnover ratio is a financial metric used to evaluate how efficiently a company utilizes its fixed assets, such as property, factories, and equipment, to generate sales revenue.
Rivian will make a trade-in offer during our online purchasing experience. We accept most makes and models of vehicles as trade-in, though some may require manual review. But since its historic start, Rivian has faced a daunting road in its journey to cement itself as a leader in the EV industry. While EV adoption is expected to grow at an exponential rate over the next decade, there is no promise it will be able to ride that momentum. By looking at where Rivian has been and evaluating its current position, a clearer picture of where the company could be in the next three years comes into focus.
Total cash and cash equivalents on the company’s balance sheet at the end of the June were $3.7 billion. Shares of EV-maker Tesla, the most valuable automobile company in the world, fell nearly 3% during the same period, between the debut of Rivian’s shares and close of trading on Friday. While both companies operate within the market for EVs, Rivian’s niche is all-terrain vehicles whereas Tesla’s specialty is sedans and SUVs. Ford, which has been focusing on expanding sales of EVs and has a nearly 12% stake in Rivian, saw its shares fall about 1% over the roughly three days of trading. The startup wants to make as many as 1 million vehicles per year by 2030 and says it will have all three different vehicles in production by the end of this year.
Rivian’s competitors include, as mentioned, Tesla and Ford, and also other traditional automakers making a big push into the EV market, such as German-based Volkswagen AG (VOW3) and General Motors Co. (GM). Rivian also faces competition from China-based EV makers like NIO Inc. (NIO) and BYD Auto, a subsidiary of BYD Co. Rivian said that it expects to generate most of its revenue in the near term from sales of vehicles, accessories, and regulatory credits. Gradually, it will then begin to generate more substantial revenue from offering value-added services spanning the lifecycle of its vehicles, which will deepen its relationship with customers.
At close to $70 billion, Rivian’s market capitalization would approach that of Ford Motor, which is valued at $80 billion and sold more than four million vehicles worldwide last year. Best of all, several catalysts are currently in the works that could help push Rivian into the green. A few years ago, there was hope that Rivian would start to manufacture its own batteries.
The R1S comes with a 260 to 320-mile range and can also wade through 3 feet of water. The R1S also boasts the ability to rock crawl up a 100% incline or 45-degree slope. You can obtain Rivian’s investor relations material in the Investors section of our website. Rivian’s independent registered public accounting firm is KPMG LLP. You can view our executive officers by visiting the Governance section of our Investor Relations website or visit the Our Company page to learn about our entire leadership team. Dow Jones Industrial Average, S&P 500, Nasdaq, and Morningstar Index (Market Barometer) quotes are real-time.
Electric vehicle startup Rivian is now a publicly traded company after executing one of the biggest initial public offerings in history. Rivian shares started trading on the Nasdaq stock exchange Wednesday at around $78 per share. That gave Rivian an overall valuation of nearly $80 billion and helped it net $12 billion in fresh cash, despite the fact that it only just recently started mercatox review to make and ship its first electric pickup trucks. Rivian’s IPO raised nearly $12 billion, making it the largest IPO in the U.S. since 2014. The stock was up more than 21% from its initial opening price to the close of trading on Nov. 12, 2021, three trading days after the IPO. The broader U.S. equity market, as measured by the S&P 500, was basically flat over the same period.
Sitting at just under $8 billion today, at its current pace, Rivian only has enough cash to last another two to three years at best. In 2023, Rivian produced more than 57,000 vehicles, its best year ever. https://forexbroker-listing.com/questrade-fx/ Just three years ago, Rivian manufactured just over 1,000 vehicles. For now, I am waiting to see if Rivian can continue to make progress on its efficiency before giving it a spot in my portfolio.
That by exploring more responsibly today, we can preserve the environment for the generations that come after us. Achieving this requires real innovation, collaboration and stewardship. And by offering products and services that inspire people to explore and enjoy our world, we hope to also inspire them to want to protect it. The market environment for the offering has been shaken this week as shares in Tesla, the leading electric-car maker, plunged after its chief executive, Elon Musk, said he might sell some of his stock. Randi Zuckerberg, a former director of market development and spokeswoman for Facebook and sister to Meta Platforms CEO Mark Zuckerberg, is a member of The Motley Fool’s board of directors. If the perfect storm unfolds in 2024 and there’s any hangover in 2025, Rivian’s position could very well be worse three years from now than it is today.
The batteries are often the most challenging aspect of EV supply chains, as they require rare earth materials such as lithium, nickel, and others. By manufacturing its own batteries, Tesla has a significant edge over the competition. It needs to increase production, maximize efficiency, manage expenses, and hopefully one day turn a profit. Rivian Automotive’s stock is owned by a number of institutional and retail investors.
24 Wall Street analysts have issued “buy,” “hold,” and “sell” ratings for Rivian Automotive in the last twelve months. There are currently 1 sell rating, 10 hold ratings and 13 buy ratings for the stock. The consensus among Wall Street analysts is that investors should “moderate buy” RIVN shares.
While Tesla brought in more than $15 billion in profits last year, Rivian lost a whopping $5.4 billion. It took Tesla nearly a decade before it was able to turn an annual profit. In December 2021, Rivian reported that it had over 71,000 pre-orders for its R1 models.[40] They produced a total of 24,337 cars in 2022. Upgrade to MarketBeat All Access to add more stocks to your watchlist. The company is scheduled to release its next quarterly earnings announcement on Tuesday, May 7th 2024. The Rivian R1S began production in 2022 and began deliveries later that year.
CEO and founder RJ Scaringe initially wanted to make an electric sports car more or less similar to the Tesla Roadster. But he nixed that plan along the way and shifted the company toward developing an electric pickup truck and an SUV. The R1T and R1S, as they’re respectively called, made their debut at the 2018 LA Auto Show. Either way, the splashy debut is sure to draw a lot of attention to the startup and its electric vehicles. It has also provided Rivian with a crucial windfall, as it needs a lot of money to grow — and survive — in the notoriously cash-hungry automotive business.
The R1T comes with 8 different drive modes geared for offroading, city adventures, and everything in between. Among the choices is the “Drift” mode which proactively distributes power to offset traction control and increase the “fun” factor. The vehicle comes with a 240 to 400-mile range depending on the battery and motor combination and individual driving styles. In regard to its capabilities, the truck can go from 0 to 60 in 3 seconds, tow up to 11,000 pounds, and wade through 3 feet of water with no problems. Rivian Automotive Inc. shares closed at a fresh record low on Thursday, with the competitive landscape for electric trucks set to get even hotter after Ford Motor Co. said it will cut prices. At Rivian, we’re committed to showing that a successful business can also be good for the planet.
While production is up, costs have cut into any chance of turning a profit. Perhaps most importantly, the company is beginning construction of its new 1,800-acre factory outside Atlanta this year. With phase one expected to be completed in 2026, it will increase total output by 200,000 units. Once fully operational in 2030, Rivian expects production to increase by 400,000. Over the last three years, Rivian has made significant progress in terms of production. While production is typically the most challenging obstacle preventing companies from achieving profitability, Rivian is showing promise in refining its EV supply chain.
The public markets have also been on an outrageous run over the last few years — a run that was supercharged over the last 18 months by an influx of retail traders and a boom in electric vehicle companies going public. Since its initial public offering (IPO), Rivian (RIVN 6.10%) has become one of the most prominent names in the electric vehicle industry (EV). With its sleek lineup of electric pickups and SUVs, many investors likely hoped that Rivian would follow a similar trajectory to the champion of EVs, Tesla (TSLA -1.11%). 24 Wall Street analysts have issued twelve-month price objectives for Rivian Automotive’s shares.
While straying from in-house development, continued progress in the battery arena should help the company reach a break-even point. Rivian will break ground on a new Georgia manufacturing facility in early 2024. Which stocks are major institutional investors including hedge funds and endowments buying in today’s market? Click the link below and we’ll send you MarketBeat’s https://forex-reviews.org/ list of thirteen stocks that institutional investors are buying up as quickly as they can. Rivian faces a wide range of competitors both in the broader automobile industry and in the small, but fast growing EV segment. The company expects competition in the EV market to intensify due to a greater regulatory push for alternative fuel vehicles and other factors.
But if it is able to weather this storm, solve its supply chain, and maintain healthy levels of cash reserves, Rivian could turn things around. Don’t get your hopes up, but for investors looking to capitalize on the growing trend of EV adoption, it’s worth keeping an eye on Rivian. When Tesla first reached profitability on an annual basis in 2020, its fixed asset-turnover ratio was at roughly 1.4. A higher fixed asset-turnover ratio indicates that a company generates more revenue per dollar invested in fixed assets, reflecting greater efficiency in asset utilization.
Based on the most recent earnings report, the estimated per-vehicle loss is around $30,000. While not yet profitable, there is clear and commendable progress being made in terms of generating revenue, which is also at an all-time high. Founded in 1993, The Motley Fool is a financial services company dedicated to making the world smarter, happier, and richer. The Motley Fool reaches millions of people every month through our premium investing solutions, free guidance and market analysis on Fool.com, top-rated podcasts, and non-profit The Motley Fool Foundation. Rivian Automotive will announce its quarterly financial results in 9 days. Traders should take this into account as the share price often fluctuates around this time period.
Rivian Automotive Inc. (RIVN) designs and manufactures electric vehicles (EVs) and accessories and offers related services. The company produces and has begun delivery of its first-generation consumer vehicle, which is a two-row, five-passenger pickup truck named the R1T. Later this year it plans to begin delivering a three-row, seven-passenger SUV named the R1S. These vehicles are equipped with a set of advanced technology systems and are designed to accommodate consumers with active lifestyles. Rivian also plans to launch an electric delivery van (EDV) for business customers.
Rivian lost $994 million in the first six months of 2021 alone and has said in regulatory filings that it expects to spend another $8 billion by the end of 2023. Rivian’s stock price recovered significantly through the first half of 2023, reaching a period high of $28.06 on July 27, 2023. However, momentum has subsequently reversed with a $1.5bn convertible green note received poorly by the financial markets,[151] causing the share price to decline to a daily low of $15.88 on October 26, 2023.
The company is planning to launch at least 2500 stations nationwide. Rivian’s Q4 earnings report is scheduled to be released on Feb. 21, which should provide a clearer picture of its future. But despite the increase, profitability still evades the company. As it currently stands, expenses are near the highest levels ever.
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