Rivian gave a mixed outlook late Thursday after beating fourth quarter expectations. Rivian stock slid on Friday but found support at a key level.
The upstart Tesla rival also delivered its first gross quarterly profit. In 2024, Rivian electric vans delivered more than 1 billion packages for Amazon.com, the EV maker said Thursday.
Six analysts hiked price targets on Rivian stock after the Q4 report, FactSet shows, and one cut. RBC Capital Markets analyst Tom Narayan said Rivian is executing but policy challenges remain, tied to the fate of a Department of Energy loan and Inflation Reduction Act consumer credits under the new Donald Trump administration.
In January, the DOE under the previous Joe Biden administration announced a $6.57 billion loan to Rivian for the construction of an EV manufacturing plant in Georgia. In the years ahead, EV tax credits could be important to support sales of Rivian's more affordable, upcoming R2 electric vehicle.
Rivian Earnings And Outlook
For Q4, the EV maker lost 48 cents per share vs. the loss of 66 cents that analysts were forecasting, according to FactSet. Revenue jumped 32% to $1.734 billion, well ahead of views for $1.493 billion, aided by sales of regulatory credits and software, the Rivian earnings release said.
The company reported gross profit of $170 million in Q4 and removed $31,000 in cost per vehicle.
"Our focus on cost efficiency across the business is critical for the launch of our mass-market product, R2," CEO RJ Scaringe said in a statement. That electric vehicle is due around 2026.
For 2025, Rivian guided 46,000-51,000 deliveries, which would be down from 51,579 in 2024. It guided an adjusted loss of $1.7 billion-$1.9 billion, narrowing from a loss of $2.69 billion in 2024.
Rivian Stock Finds Key Support
On the stock market today, Rivian stock lost 4.7% to 12.97 in big volume. Shares slumped below the 50-day moving average but found support at the 200-day line, closing in the middle of the day's range.
RIVN stock has a 16.65 buy point from a bottoming base. Tuesday's high of 14.45 could offer an early entry.
Please follow Aparna Narayanan on X @IBD_Aparna for more coverage.
