"Shares of electric vehicle (EV) manufacturer Rivian have been on a rollercoaster this year, surging and then falling after its first-quarter report. They have recovered somewhat since the second-quarter report. In the latest results, revenue was up slightly year over year to $1.6 billion. The company posted a narrower-than-expected loss. The company noted this quarter was likely its strongest delivery quarter of the year due to the expiration of federal EV tax credits. Wall Street sentiment on the stock was mixed after the report."
"Rivian is grappling with significant obstacles. Third-quarter deliveries totaled 13,201 vehicles, a 32.2% increase year over year. This comes as Rivian prepares for the launch of its 2026 model year vehicles. The company reaffirmed its 2025 delivery guidance of 41,500 to 43,500 vehicles. It cited softening demand due to the expired EV tax credits, as well as economic uncertainties and shifting consumer sentiment, as well as tariffs that are increasing manufacturing costs. So, sales for the current quarter could be weak."
Rivian's share price recently fell 14.6% from a week earlier after the board approved a new CEO compensation package, expanded its Volkswagen partnership, and announced a 4% workforce reduction. The stock remains 48.9% higher than a year ago and 44.7% above its year-to-date low. Quarterly revenue rose slightly to $1.6 billion and losses narrowed. Third-quarter deliveries reached 13,201 vehicles, up 32.2% year over year, and 2025 delivery guidance was reaffirmed at 41,500 to 43,500 vehicles. Challenges include expired federal EV tax credits, softened demand, tariffs increasing manufacturing costs, and reduced near-term delivery targets. Cost efficiencies, strategic partnerships, and the anticipated R2 SUV launch could support recovery.
Read at 24/7 Wall St.
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