Rivian Automotive Inc. (NASDAQ:RIVN) had a busy stretch this week that included a fresh analyst initiation and commentary from management on its R2 production ramp.
- Rivian stock is trading flat. What should traders watch with RIVN?
Citigroup Sees Profitability Hinging on R2 SUV Ramp
Citigroup initiated coverage on Rivian Monday with a Neutral rating and an $18 price target, saying the company has not yet shown it can build vehicles at high volume and that its longer-term case rests on scaling the new R2 midsize SUV. R2, Rivian’s lowest-priced vehicle, is the model management has cast as the company’s path to profitability. After 22,559 first-half deliveries, Rivian has guided to 65,000-70,000 vehicles for 2026, including 20,000-25,000 R2 units — a pace that requires doubling its second-half run rate.
Scaringe Addresses the R2 Ramp
Speaking at Morgan Stanley’s Laguna Conference Tuesday, CEO RJ Scaringe said the factory itself is not the constraint on Rivian’s ramp. “Our ramp-up is gated by or throttled by the rate at which we ramp up our suppliers,” he said, noting that Tier 2 and Tier 3 vendors — rather than larger Tier 1 suppliers — tend to be the more challenging bottleneck. A second production shift remains on track to begin by the end of September.
Evercore Forum Participation
Rivian also announced that its SVP of Autonomy & AI, James Philbin, and Vice President of Investor Relations, Chip Newcom, will participate in a fireside chat at the Evercore ADAS, AV & AI Forum on Tuesday, September 29, at 2:40 p.m. ET
Rivian Shares Trade Flat
RIVN Price Action: At the time of publication, Rivian shares are trading 0.63% higher at $15.50, according to data from Benzinga Pro.
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