Welcome to another blog on our Rivian Stock Price Prediction. After only Tesla Inc.,the second-most-valuable U.S. automaker is Rivian Automotive Inc.Hope you are excited, If you like this post then please do share it with your friends and visit jackhackmoney.com
Electric vehicle maker Rivian Automotive Inc. broke records with the launch of its IPO on 10th November.The company raised over US$13.5 billion in financing following its IPO in November 2021.
What Is Rivian Automotive Inc?
Rivian Automotive, Inc. is an American ELECTRIC vehicle automaker founded in 2009.Robert “RJ” Scaringe is an American entrepreneur and engineer, the founder and CEO of electric vehicle manufacturer Rivian.
Rivian is manufacturing sport utility vehicle (SUV),Pick up van and also Amazon electric delivery van.
The company launched its IPO in Nov 2021 by raising over $13.5 billion USD. Investors invested in this company with a vision that Rivian could become a major competitor of TESLA.
There are a lot of investors and traders who are highly interested in knowing Rivian stock price predictions for 2025.
| Valuation Measures | Value/Price |
|---|---|
| Market Cap | 31.61B |
| Enterprise Value | 3.93 B |
| 52 Week High | $ 179.47 |
| 52 Week Low | $ 19.25 |
| S&P500 52-Week Change | -4.31% |
| Price/Sales (TTM) | 84.53 |
| Price/Book (MRQ) | 1.05 |
| Enterprise Value/Revenue | 71.37 |
| Enterprise Value/EBITDA | -0.88 |
| 50/200 Day Moving Average | $29.92 / $57.98 |
The above table display information about Rivian Automotive, Inc. (RIVN) Stock Price, market cap, and 52-week high and low along with some other important information like S&P500 52-Week Change in Rivian.
Three pros and Three cons to buying RIVN
Pro: Big backers.
While it isn’t the first EV company to be called the Tesla-killer, there’s a good reason behind the hype: Amazon led the automaker’s first round of funding in 2019 and has taken a 20% stake in the company. The same-day-delivery giant has also ordered 100,000 electric vans to green its delivery fleet. Ford also took an early shine to Rivian, and though partnerships to build EVs with Ford’s Lincoln division fell through, Ford still holds a 12% stake in the company and has kept the option for strategic partnerships open. Beyond that, T. Rowe Price Group Inc. (TROW), Blackrock Inc. (BLK) and Franklin Resources Inc. (BEN) were all listed as cornerstone investors in the company’s filings.
Pro: A growing EV market.
Anyone who has witnessed Tesla’s meteoric rise over the past two years, or even Lucid Group Inc.’s (LCID) ramp-up this year, can tell you that the EV market has priced in significant future growth potential. The number of EVs on roads across the globe surpassed 10 million in 2020, nearly doubling from a year earlier, and the International Energy Agency predicts that number will reach 145 million by 2030. Add in the fact that more than 75% of U.S. vehicle sales in 2020 were pickup trucks and SUVs, and you have a recipe for strong growth. Rivian stands to benefit from its first-mover status.
Pro: Expansion plans.
While it has limited capacity of 150,000 vehicles per year at its plant in Normal, Illinois, Rivian has two planned additions to that facility that will expand its footprint to a total of 3.9 million square feet. Rivian has budgeted $5 billion for a second factory in the Dallas-Fort Worth area of Texas, dubbed Project Tera, which would produce 200,000 vehicles per year. Officials in Fort Worth have approved a package of tax incentives worth $440 million for this facility. The National Highway Traffic Safety Administration also approved Rivian for direct-to-consumer sales in all 50 states, mirroring the successful strategy of Tesla and Lucid. The company hopes that the electric van purchase from Amazon is just the opening purchase in what could be a stable and profitable fleet vehicle manufacturing program.
Con: Huge valuation.
Usually, it takes a bit of time for a company’s stock to settle on the right price following an IPO. With its valuation sitting at more than $100 billion on its third day of trading, investors have asked themselves why a newly minted automaker is worth more than old stalwarts General Motors Co. (GM), valued at $92 billion, or Ford, valued at $78 billion. Though it beat TESLA to deliver the first electric pickup truck to market, Rivian has delivered fewer than 200 vehicles, according to its SEC filings, and has about 55,000 preorders for its R1T pickup and R1S SUV. In its IPO filing, Rivian said that it expects to deliver about 1,000 vehicles in 2021.
Con: Startup headwinds.
Rivian burned through nearly $1 billion in the first half of 2021 and expects to drop another $1.28 billion for the third quarter. Adding to the pressure, Rivian’s former vice president of sales and marketing has sued the company, alleging that it has a “toxic bro culture” and that she was ignored when she raised concerns internally that its vehicles were underpriced, had manufacturing quality issues and set unrealistic delivery targets. After she was fired in October, the company quietly adopted some of her recommendations, and some of those concerns were addressed in an amended S-1 form filed with the Securities and Exchange Commission on Nov. 5. While it’s unlikely to step away given its large investment in Rivian’s success, AMAZON is under no obligation to purchase its full order of 100,000 electric delivery vehicles, which could be a headwind down the road if Rivian doesn’t deliver.
Con: Competition.
Rivian is currently selling two models: the R1T pickup truck, which starts at $67,500, and the R1S SUV, which starts at $70,000. The “adventure” vehicles target a niche market of outdoor enthusiasts and will come up against tough competition from Ford’s F-150 Lightning in spring 2022, GM’s electric Chevy Silverado in late 2023 and Tesla’s Cybertruck sometime in 2022. Both the Cybertruck and F-150 are expected to be priced at less than $40,000 for base models. Volkswagen, Lucid and Stellantis NV (STLA) will also compete for market share as they bring new EV offerings in the coming years.
Forecasts for Rivian stock prices in 2023, 2025, 2030, 2040, and 2050
| YEAR | Rivian Stock Price Prediction | Rivian Stock Forecast |
| 2022 | $40 to $75 |
| 2023 | $57 to $67 |
| 2025 | $80 to $95 |
| 2030 | $250 to $287 |
| 2040 | $1500 to $1600 |
| 2050 | $2500 |
Rivian stock price prediction 2023
According to Elliott’s wave analysis and technical analysis, the expected price of Rivian stock price would vary between $57 and $67.
This means the stock price touches the lower range at $57 while the higher range could reach up to $67.
Rivian stock price prediction 2025
Rivian stock price prediction for 2025 is $80 as the initial target and the next target could be $95. This means the stock price would vary between $80 and $95.
But some analyst estimates that the Rivian stock price prediction for 2025 would be $38.
Rivian stock price prediction 2030
According to analysis, and expert comments, Rivian stock price is expected to reach the lower range of $250, and the higher range can reach $287 in 2030. That means it may vary between $250 to $287. Rivian became one of the most popular brands in SUVs (Pickup trucks). As a result of its attractive and unique designs, other investors are coming forward to invest in it.
Rivian is focusing on utility trucks so, there are higher chances of becoming the best EV manufacturing brand in SUVs. Rivian vehicles are made for off-roading as well, which sets them apart from other brands.
If the demand for EVs increases, then people will go for Rivian vehicles as well, increasing their profits, resulting in the share price of Rivian going up by 2025 and gradually increasing through 2030.
Rivian stock price prediction 2040
According to all analyses, Rivian stock price prediction for 2040 is $1550. Some experts expect that the Rivian stock price would vary between $1500 to $1600.
Ultimately, the company will be able to make a profit if it stays in business for years and gain trust among the buyers and sell its products.
Rivian stock price prediction 2050
In 2050, Rivian Automotive Inc will become 40 years old company and its stock price would be around $2500.
If everything goes well then its stock price would reach up to $2500 or even more.
Some Frequently Asking Questions:
What is the reason behind the low stock price of Rivian?
Presently, the company is experiencing supply-chain issues that are hindering mass production and delivery. If the company sells fewer cars then it will gets lets profit. In this way, if Rivian doesn’t get good profits then its stock price will surely go down. Nowadays, one more piece of news is flooded all over the internet about the upcoming recession.
However, a less number of people are investing in shares nowadays.
Is Rivian stock worth buying?
According to our technical analysis, Rivian Automotive Inc is a very good brand. There are many reasons that Rivian stocks worth buying. They are especially working on electric vehicles and utility trucks.
By 2023, Rivian plans to build a network of public charging stations across the United States and Canada. So, it can be a revolutionary step for the company.
Rivian Automotive Inc. also plans to compete with Tesla by offering a combination of slower destination chargers, and fast chargers, and selling home chargers.
Does Rivian stock seem overpriced?
There is no doubt that Rivian shares are overpriced according to their production, which is currently affected by inefficiencies in supply chains around the world.
What will Rivian stock be worth in 5 years?
Based on some technical analysis, Rivian’s stock price will increase five times and trade at over $150 in five years.