Rivian (NASDAQ:RIVN) stock gained about 3% in yesterday’s extended trading session and another 3.7% at the time of writing. The upside comes after Top-rated analyst Alexander Potter from Piper Sandler upgraded the rating on RIVN stock to Buy from Hold. Further, he increased the price target to $21, implying 96.5% upside from $15.
Before moving ahead, investors should note that TipRanks ranks the Top analysts according to industry, timeline, and benchmarks. The ranking reflects an analyst’s ability to deliver higher returns through recommendations.
Bullish Analyst’s Opinion
Potter was encouraged by the impressive consumer response to Rivian’s new midsize SUV, the R2, which received about 68,000 preorders in just one day.
Additionally, the analyst believes that Rivian’s upcoming models, the R3 and the R3X, could compete more effectively in the electric vehicle market. He expects Rivian’s R2 and R3 vehicles to drive revenue growth, given their more affordable price points relative to Rivian’s current R1 models.
Further, he remains encouraged by RIVN’s decision to defer capital expenditure and utilize an existing plant for the production of R2 vehicles.
Is Rivian a Buy, Sell, or Hold?
On TipRanks, Rivian has a Moderate Buy consensus rating based on 13 Buys, eight Holds, and three Sells. The analysts’ average price target on Rivian stock of $18.24 implies a 70.63% upside potential. The stock is down nearly 56% over the past six months.
