Does Rivian Automotive (RIVN) have what it takes to be a top stock pick for momentum investors? Let's find out.
Shares of Rivian Automotive (NASDAQ:RIVN) gained 1.37% through a.m.
Shares of Rivian Automotive (NASDAQ:RIVN) have gained 9.82% over the past five trading sessions, bringing the stock's year-to-date gain to 10.49%.
Rivian's Q1 2025 revenue beat estimates, but automotive sales dropped significantly, and the company cut 2025 delivery guidance. Gross margins improved significantly, but were helped quite a bit by regulatory credit revenues and the Volkswagen deal. Rivian's balance sheet has been bolstered by the VW partnership, but ongoing dilution and a weak demand outlook could weigh on shares.
Shares of Rivian slid after the company cut its FY25 deliveries outlook to 40-46k (-22% y/y to -11% y/y), from a prior view of 46-51k. In spite of a y/y decline in unit deliveries, Rivian delivered big beats on revenue, suggesting a rich expansion of ASP into higher-priced models. I view the company's unit declines as normal cyclicality ahead of the company's very consequential $45,000 R2 launch next year.
Despite the intensified tariff war and the massive profitability impacts reported by its peers, RIVN has continued to reiterate their FY2025 bottom-line guidance. Much of its outperformance may be attributed to the prudent stockpiling in batteries and inventories since 2024, as they also source their future supply chains from Korea and the US. This is aided by the rich balance sheet and investments by VWAGY, allowing RIVN to weather the near-term uncertainties and the higher capex in FY2025.
Two electric vehicle (EV) makers -- Rivian Automotive Inc (NASDAQ:RIVN) and Lucid Group Inc (NASDAQ:LCID) -- just stepped into the earnings spotlight.
RIVN reports better-than-expected Q1 results and expects to deliver 40,000 to 46,000 vehicles in 2025, down from the previous estimate of 46,000-51,000 units.
Rivian Automotive, Inc. (NASDAQ:RIVN ) Q1 2025 Earnings Conference Call May 6, 2025 5:00 PM ET Company Participants Derek Mulvey - Vice President of Finance RJ Scaringe - Founder and Chief Executive Officer Claire McDonough - Chief Financial Officer Javier Varela - Chief Operations Officer Conference Call Participants Dan Levy - Barclays Adam Jonas - Morgan Stanley Shreyas Patil - Wolfe Research Joseph Spak - UBS Mark Delaney - Goldman Sachs Philippe Houchois - Jefferies Edison Yu - Deutsche Bank George Gianarikas - Canaccord Genuity Ben Kallo - Baird Ronald Jewsikow - Guggenheim Securities Itay Michaeli - TD Cowen Operator Welcome to today's Q1 Earnings Result hosted by Rivian. At this time, all participants are in a listen-only mode.
Rivian Automotive (RIVN) came out with a quarterly loss of $0.41 per share versus the Zacks Consensus Estimate of a loss of $0.80. This compares to loss of $1.19 per share a year ago.
Rivian said in its earnings report Tuesday it will likely deliver fewer vehicles this year than previously forecasted due to President Trump's tariffs and other regulatory changes, making it the latest automaker to be affected by the new administration's chaotic economic policies.
Rivian Automotive cut its outlook for vehicle deliveries and upped expectations for capital expenditures for the full year, as evolving tariff policies rattle guidance for the electric vehicle maker.