Al Root
Rivian Automotive stock started 2026 in the green even though the electric-vehicle company reported a double-digit decline in deliveries. Investors are focused on the future.
Shares of the EV maker were up 3.5% at $20.40 in morning trading, while the S&P 500 and Dow Jones Industrial Average gained 0.7% and 0.1%, respectively.
The jump came after Rivian reported fourth-quarter deliveries of 9,745 EVs, down 31% year over year and off 26% from the 13,201 vehicles handed over to customers in the third quarter. For the full year, Rivian delivered 42,247 EVs, down 18% year over year.
The stocks is strong despite declining sales because everyone expected a lower number. The $7,500 federal EV purchase tax credit expired at the end of September, making EVs more expensive and creating a rush to buy in the third quarter.
The full-year number fell neatly within the range of 41,500 to 43,400 vehicles management had told investors to expect.
And investors just aren't that concerned with 2025 anymore. Rivian is launching its R2 platform, offering lower-priced models, in 2026. Wall Street projects 2026 sales of about 66,000 EVs, up 56% year over year.
Rivian is also advancing its driver-assistance systems. It is pursuing a strategy similar to what Tesla has done with its Full-Self Driving product, which could help drive sales of more EVs.
"We believe that 2026 represents a 'prove-me' year with its R2 fleet providing a significant opportunity to drive demand with this product expected to provide a low-cost SUV, which has been lacking in the EV landscape," wrote Wedbush analyst Dan Ives in a recent report. "Rivian is making the right moves to add additional revenue streams outside of its core delivery business by leveraging improving autonomous [driving] capabilities in-house."
He rates the shares at Buy and has a $25 price target for the stock. Overall, 30% of analysts covering Rivian rate shares Buy, according to FactSet. The average Buy-rating ratio for stocks in the S&P 500 is about 55%. The average analyst price target for Rivian stock is almost $17 a share.
In 2025, Rivian shares gained 48% as investors began to feel better about the outlook for the EV startup.
Write to Al Root at allen.root@dowjones.com
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(END) Dow Jones Newswires
January 02, 2026 11:25 ET (16:25 GMT)
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