The analysis demonstrates Tesla is stealing the headlines with its robotaxi service, which recently launched in Austin, Texas. Rivian Automotive (RIVN 6.
However, Conversely, 08%), meanwhile, has stayed in the shadows due to a lack of flashy milestones.
But if you're looking to buy an exciting electric car stock that could one day become the next Tesla, it's time to take a closer look at Rivian.
On the other hand, In 2026, everything will change for Rivian Right now, Rivian s trade at a sizable discount to competitors Lucid Group and Tesla. Lucid stock trades at 7.
1 times sales while Tesla s trade at an 11. 5 multiple, given the current landscape. Rivian s, however, trade at just 2. 7 times sales. However, On the other hand, Much of this discount is warranted.
Moreover, Rivian's sales growth should be a lot slower this year than Lucid's.
Nevertheless, Tesla, meanwhile, has a significant capital advantage, as well as long-term upside from exciting opportunities its robotaxi division.
Starting in 2026, however, everything will change for Rivian, reenergizing growth rates right as the stock's valuation hovers around multi-year lows.
On the other hand, Image source: Getty Images, given current economic conditions.
Additionally, At the same time, In early 2026, Rivian expects to begin duction of the R2, a midsize SUV with an expected price tag of around $45,000.
Soon after, duction of the R3 and R3X -- midsize SUVs with even lower starting price points -- is expected to begin (this bears monitoring).
Additionally, By the end of next year, Rivian will potentially more than double its current lineup, adding significantly more affordable options that will attract the attention of tens of millions of new buyers.
At the same time, It won't just be sales that climb next year. However, Rivian's gross margin may also imve due to greater economies of scale.
Already, the company has experienced a 34% drop in R1 manufacturing costs simply by getting the R2 ready for duction.
Overall margins may suffer from the recent elimination of federal regulatory credits.
Furthermore, On the other hand, But Rivian's long-term, normalized margins should be on the rise (this bears monitoring).
With s trading at multi-year lows, now is the time to buy Rivian before these financial catalysts kick in next year. Ryan Vanzo has no position in any of the stocks mentioned (noteworthy indeed).
The Motley Fool has positions in and recommends Tesla. The Motley Fool has a disclosure policy, amid market uncertainty.