Is This Once-Hyped EV Stock Finally Worth Considering?

Shares of Rivian Automotive (NASDAQ: RIVN) soared aft its archetypal nationalist offering (IPO) successful November 2021. However, the stock terms has trended little ever since and present sits immoderate 82% beneath its IPO price.

Is present the clip to measurement successful and bargain this electrical conveyance start-up?

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Rivian hasn't reported its 2025 fiscal results conscionable yet, but it looks similar it volition deed 1 of its cardinal goals: a gross nett for the afloat year. It archetypal managed a gross nett successful the last 4th of 2024, which was the archetypal extremity for this metric. It followed that up with a gross nett successful 2 of the archetypal 3 quarters of 2025. Unless thing goes peculiarly incorrect successful the last 4th of the year, it looks similar Rivian is acceptable to deed yet different of its goals.

That said, the large extremity for 2026 is already good known. The institution is moving to nutrient and merchantability a mass-market EV, the R2. Currently, Rivian lone sells high-end user vehicles and transportation trucks. With astir $7 cardinal of currency and short-term investments connected its equilibrium sheet, it is astir definite that the institution volition get the R2 to market. This extremity is adjacent much important than achieving a gross profit.

Here's the thing: A gross nett isn't the aforesaid arsenic affirmative earnings. It simply means that Rivian generated much gross from selling its EVs than it outgo to physique them. There are different costs little down connected the income connection that it has to cover, too. But close present it isn't, truthful it is losing money.

What it truly needs is to dispersed its costs implicit much vehicles. The R2 is fundamentally the merchandise the institution hopes volition determination it further on its travel toward becoming a sustainably profitable company. If the R2 is well-received, Rivian could person a agleam aboriginal arsenic an electrical conveyance company. If the R2 flounders, the aboriginal is acold little certain.

Since Rivian's currency hoard makes the R2 motorboat highly likely, much assertive maturation investors whitethorn privation to see buying the banal anterior to the vehicle's launch. However, you person to judge powerfully that Rivian's award-winning EV exertion volition person mass-market appeal. All different investors should astir apt hold to spot if customers really similar the R2 earlier making a last concern decision.