Rivian Automotive Inc. (NASDAQ:RIVN) shares are trading higher Friday after the EV maker beat third-quarter expectations and raised its delivery outlook.
The stock also drew support from Rivian’s growing software and autonomy business, helping it outperform a weaker broader market.
Earnings Snapshot
Rivian reported third-quarter revenue of $2.155 billion, up 38% year over year and above the $1.984 billion estimate. Adjusted loss was 48 cents per share, beating the expected 72-cent loss.
Automotive revenue rose 36% to $1.55 billion. Rivian produced 19,751 vehicles and delivered 19,248 units during the quarter.
The company raised full-year delivery guidance to 67,000-70,000 vehicles from 65,000-70,000, improved its adjusted EBITDA outlook to a loss of $1.85 billion-$1.75 billion and lowered capital expenditure guidance by $300 million.
Autonomy, Volkswagen and Uber Add Growth Levers
During Rivian’s third-quarter earnings call, CEO RJ Scaringe said autonomy could become a major driver of market share across the auto industry.
He said Rivian’s Point to Point supervised driving system is an early step toward Level 4 capability planned for 2028, while advanced autonomy could eventually create “new levels of demand” for Rivian vehicles.
Software and Services revenue reached $605 million, up 45% year over year, with CFO Claire McDonough saying 60% was attributable to Rivian’s joint venture with Volkswagen AG (OTC:VWAGY).
Rivian also said it expects to hit a year-end milestone that would unlock an additional $250 million equity investment from Uber Technologies Inc. (NYSE:UBER), tied to its planned 2028 robotaxi rollout.
Analysts Reassess Rivian After Q3 Beat
Rivian has a Hold consensus rating and an average price forecast of $17.91, but several analysts updated their views after the quarter.
Yorkville Ives analyst Dan Ives maintained an Outperform rating and $20 price forecast, calling the results the “beat-and-raise quarter the R2 story needed.”
“Rivian’s two engines are now coming into sharper focus: R2 is becoming the volume platform, and the software and autonomy stack is creating value beyond the vehicle,” Ives said.
He added that Rivian’s AI and self-driving efforts may not yet be fully reflected in the stock, saying, “In our view this is the piece of Rivian the Street has yet to fully value.”
Elsewhere, Jefferies upgraded Rivian to Buy and maintained a $17 price forecast on Oct. 30. Cantor Fitzgerald maintained Neutral and lowered its forecast to $16, while Needham maintained Buy and cut its forecast to $18.
Rivian Technicals Remain Bearish
Rivian remains below all major moving averages, trading 7.1% below its 20-day SMA, 17.7% below its 50-day SMA and 22.4% below its 100-day and 200-day SMAs.
RSI stands at 24.23, placing the stock in oversold territory, while MACD remains below its signal line.
Rivian also remains under pressure after a September death cross, when the 50-day SMA fell below the 200-day SMA. The stock is trading near its 52-week low of $11.42.
RIVN Stock Price Activity: Rivian Automotive shares are trading higher by 4.80% at $12.00 at the time of publication on Friday, according to Benzinga Pro data.
Photo: Ian Dewar Photography / Shutterstock
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