From Nasdaq: 2024-06-21 04:05:00

Rivian (NASDAQ: RIVN) is eyeing 2024 as a crucial year, with management setting ambitious operational goals. Success could lead to stock popularity and potential millionaire-making opportunities. The company is making waves in the EV industry, rivaling big players like Tesla (NASDAQ: TSLA) with its high-cost, well-received pickup trucks.

However, Rivian is facing challenges as it currently loses money on each truck sold, with a significant loss of over $38,000 per vehicle in Q1 2024. Management is focused on achieving profitability in 2024, after proving its ability to operate at scale in 2023.

To improve efficiency and increase production capacity, Rivian has recently revamped its production facility. The company aims to achieve a positive gross profit in Q4 and launch lower-cost models like the R2 truck in 2026. While there are risks involved in investing in Rivian, it could potentially lead to significant gains if it follows Tesla’s path to profitability.

Despite its stock price falling over 90%, Rivian has been meeting internal operational targets. While investing in Rivian could be lucrative for aggressive investors, the risk of not achieving profitability remains. The company’s success in becoming profitable could be a deciding factor in its future growth and potential for investors to build substantial portfolios.

Rivian is not among the 10 best stocks identified by The Motley Fool Stock Advisor team. While there are risks associated with investing in Rivian, the company’s progress towards profitability could lead to significant returns. Investors should carefully consider the risks and rewards before investing in Rivian or any other stock.



Read more at Nasdaq: Is Rivian a Millionaire-Maker Stock?