Rivian (RIVN) Target Trimmed to $18 After Q1 Beat

Faizan Farooque

Fri, May 16, 2025, 10:25 AM 1 min read

Rivian Automotive (RIVN, Financials) delivered a better-than-expected quarter, but slower shipments and macro pressures led Wedbush to trim its terms people to $18. The steadfast kept its Outperform rating, betting connected Rivians semipermanent potential.

• Warning! GuruFocus has detected 7 Warning Signs with RIVN.

Rivians Q1 gross came successful astatine $1.24 billion, outpacing the $997.7 cardinal Wall Street expected. The institution besides posted a smaller adjusted EBITDA nonaccomplishment of $300 million, beating forecasts from some Bank of America and broader consensus.

Despite the upside, Rivian chopped its full-year transportation outlook to 40,00046,000 vehicles. Q1 deliveries fell to 8,640 down 36% from a twelvemonth ago. The driblet comes arsenic Rivian works to little costs and enactment connected way for profitability.

Bright spots included bundle and services revenue, which jumped to $318 cardinal from $214 million. Gross borderline improved to 17%, with a 2nd consecutive 4th of affirmative gross nett ($26 million), helped by regulatory credits and Volkswagen (VOWG_p) payments tied to their partnership.

Rivian besides teased a autumn lawsuit AI and Autonomy Day to outline its adjacent steps successful driver-assist tech and data-driven autonomy features.

Wedbush says the semipermanent thesis remains intact, but macro uncertainty and outgo subject could measurement connected short-term performance.

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This nonfiction archetypal appeared connected GuruFocus.