Why Rivian Stock Is Accelerating In Premarket Today - Rivian Automotive (NASDAQ:RIVN)

Benzinga

2024-06-25 16:06

Even as sentiment toward EV stocks sour, one startup has found favor with an analyst, with the optimism premised on the company's next-gen platform.

　　Shares of Rivian Automotive, Inc.RIVN are rising in premarket trading on Tuesday as they react to a positive analyst action.

　　The Analyst:Guggenheim Securities analyst Ronald Jewsikow initiated coverage of the electric-vehicle startup with a Buy rating and a $18 price target, StreetInsider reported. The optimism is reportedly premised on a “compelling catalyst path that supports the firms R2/R3 optimism thesis.”

　　Rivian hasnt been immune to the EV industry-wide demand slowdown, and the company is also weighed down by the huge loss incurs per EV it manufactures.

　　It currently sells the RIS SUV and R1T electric pick-up truck based on its first-generation platform. In March, the company unveiled its second-gen new R2 vehicles and also gave a sneak peek into the future models codenamed R3 and R3X.

　　The R2 EVs are more affordable than the existing Rivian lineup and will have a starting price of $45,000.

　　Rivian shares have pulled back sharply amid the fundamentals woes and are down a whopping 53% this year.

　　Price Action:Rivians shares climbed 1.91% in premarket trading to $11.22, according to Benzinga Pro data.

Disclaimer:The views in this article only represent the author's personal views, and do not constitute investment advice on this platform. This platform does not guarantee the accuracy, completeness and timeliness of the information in the article, and will not be liable for any loss caused by the use of or reliance on the information in the article.