Rivian climbs 6% as UBS upgrades to buy on R2 demand

Rivian Automotive (RIVN.US) climbed nearly 6% during regular trading to $14.07.

UBS upgraded the stock to Buy from Neutral with a price target of $17. Analyst Joseph Spak noted that test drives for the R2 electric SUV exceeded 103,000 in the third quarter, with reservation conversion rates surpassing management expectations. He projects approximately 82,000 R2 deliveries next year and expects gross margins to improve as production scales.

Separately, Rivian reported third-quarter revenue of $2.155 billion, up 38% year-over-year and topping estimates, while its per-share loss of $0.48 was narrower than the consensus of $0.65. The company raised its 2026 full-year delivery guidance to 67,000–70,000 units. Additionally, the scope of its $5.8 billion joint venture with Volkswagen Group has been expanded to include licensing for AI voice assistant technology.

Based on public media reports. AI-generated; not investment advice.