Rivian Automotive Inc (NASDAQ:RIVN) shares are trading marginally lower Thursday morning, despite a surge in optimism over the past week. Here’s what investors need to know.
What To Know: Recent positive sentiment, which drove the stock higher on Wednesday, is largely centered on the company’s upcoming R2 mid-size SUV. An analyst from Needham recently reiterated a Buy rating, highlighting the R2’s potential to significantly expand the company's market reach with its more affordable $50,000 price point.
The company is set to break ground on its $5 billion factory in Georgia on September 16, with production expected to begin in 2028. This new plant is crucial for manufacturing the R2 crossover and could help the company beat 2026 delivery estimates.
However, the company faces headwinds, including a revenue shortfall of nearly $100 million after a rollback of federal fuel economy rules froze the market for regulatory credits, a key revenue stream for EV makers.
Tariffs are also adding to production costs, contributing to the stock’s recent volatility. While the company has shown positive gross profit in recent quarters, its cash burn rate remains a concern.
Benzinga Edge Rankings: Benzinga Edge stock rankings show a key weakness in the stock, as its Growth score is ranked at a low 24.38.
Price Action: According to data from Benzinga Pro, RIVN shares are trading 6% lower at $13.56 Thursday morning. The stock has a 52-week high of $17.14 and a 52-week low of $9.50.
How To Buy RIVN Stock
Besides going to a brokerage platform to purchase a share – or fractional share – of stock, you can also gain access to shares either by buying an exchange traded fund (ETF) that holds the stock itself, or by allocating yourself to a strategy in your 401(k) that would seek to acquire shares in a mutual fund or other instrument.
For example, in Rivian Automotive’s case, it is in the Consumer Discretionary sector. An ETF will likely hold shares in many liquid and large companies that help track that sector, allowing an investor to gain exposure to the trends within that segment.
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