Rivian Automotive Inc. (RIVN) is having a solid Thursday, with shares climbing after Baird decided the electric-vehicle maker deserves a second look. The firm upgraded the stock from Neutral to Outperform and bumped its price target from $14 all the way to $25.
So what's changed? According to Baird analyst Ben Kallo, it's all about the R2 platform. As reported by Barron's, Kallo believes this upcoming vehicle line could help Rivian navigate the current headwinds in EV demand while strengthening the brand and driving product interest. He's calling 2026 "the year of R2," with the company expected to start selling these new vehicles around mid-2026.
But there's more to the story than just a new model. Kallo also highlighted Rivian's work on autonomous driving technology, including custom-designed microchips, as a factor that could boost the company's long-term competitive position. It's the kind of vertical integration that suggests Rivian is thinking beyond just making cars.
What the Charts Are Saying
From a technical perspective, Rivian is showing some serious strength. The stock is trading 10.4% above its 20-day simple moving average, 22.7% above its 50-day SMA, and 30.1% above its 100-day SMA. That's the kind of positioning that suggests solid upward momentum.
The Relative Strength Index sits at 56.82, which is right in neutral territory. Translation: the stock isn't overheated, but it's not oversold either. However, there's a slight wrinkle in the bullish narrative. The MACD is currently below its signal line, hinting at possible bearish pressure in the near term.
Traders should keep an eye on the $15.50 support level. If the stock tests that level and breaks through, it could signal a trend reversal. For now, though, the technical picture suggests Rivian is in a strong position, even if some indicators warrant a bit of caution.
The Bottom Line
At last check, Rivian shares were trading 5.79% higher at $18.65. The upgrade from Baird represents a meaningful vote of confidence in the company's ability to navigate a challenging EV market. Whether the R2 platform lives up to the hype remains to be seen, but for now, investors seem willing to bet on Rivian's next chapter.