Wall Street analysts have an average price target of $14.72 for Rivian Automotive stock (NASDAQ: RIVN), with just 5% potential upside. A “sell” rating was given by one analyst, predicting a 50% potential downside. The U.S. government is eliminating key subsidies for electric car stocks, impacting Rivian and competitors like Tesla and Lucid Group. Rivian earned $300 million in Q4 2024 from regulatory credits, but federal sources will likely disappear in 2026. Guggenheim analysts downgraded Rivian stock due to reduced confidence in demand and weaker EV incentives.

Considerations before investing $1,000 in Rivian Automotive: The Motley Fool’s Stock Advisor analysts did not include Rivian in their top 10 stock picks. The 10 stocks chosen previously saw significant returns, with an average return of 1,041%. Membership offers access to these picks. Ryan Vanzo has no position in the mentioned stocks, but The Motley Fool has positions in and recommends Tesla.

Read more at Nasdaq: Why Is Wall Street So Bearish on Rivian? There’s 1 Key Reason.