Dec. 20, 2025 — Rivian Automotive, Inc. (NASDAQ: RIVN) is ending the week as one of the most watched EV stocks on the market, with shares closing around $22.45 on exceptionally heavy trading volume after a rapid-fire run of autonomy headlines and Wall Street upgrades.
The momentum is notable because it’s arriving in a tougher demand backdrop for the U.S. EV industry: the IRS says the New Clean Vehicle Credit is not available for vehicles acquired after Sept. 30, 2025, a policy shift that has re-shaped near-term EV buying patterns and may have pulled demand forward earlier in the year. [1]
So what’s actually moving Rivian stock right now—and what do forecasts and fresh analyst notes suggest about 2026?
What’s new for Rivian stock on Dec. 20, 2025
Weekend coverage and late-week research notes converged around two themes: governance news and price-target upgrades tied to Rivian’s AI/autonomy push and the upcoming R2.
1) Rivian board update: Rose Marcario to step down
Rivian disclosed in an SEC filing that Rose Marcario will resign from the board effective Jan. 1, 2026, and the company will reduce the board’s size from eight directors to seven. [2]
TechCrunch identified Marcario as the former CEO of Patagonia, adding context for investors who track governance and board composition at high-growth automakers. [3]
2) Wedbush boosts its target as the “R2 + software” narrative heats up
A widely circulated catalyst on Dec. 20 was Wedbush lifting its Rivian price target from $16 to $25. In weekend summaries, the note was framed around Rivian’s 2026 setup—especially R2 and the company’s ability to monetize software over time. [4]
3) The market digests a bigger question: is Rivian becoming an “AI mobility” story?
The move isn’t just about a single price target. The bigger shift is that Rivian is increasingly being valued—at least by the bulls—less like a niche EV manufacturer and more like a vertically integrated autonomy + software platform. That framing gained traction after Rivian’s Autonomy & AI Day and subsequent product rollouts, which pushed autonomy back to the center of the investment debate. [5]
Why Rivian stock is moving: Autonomy & AI Day changed the conversation
Rivian’s Dec. 11 Autonomy & AI Day is now the focal point for most of the December analyst upgrades. According to Reuters, Rivian introduced its first custom computer chip—the Rivian Autonomy Processor—as it pivots away from Nvidia-powered autonomy compute and leans further into vertical integration. [6]
Key takeaways investors are reacting to
Rivian launched Autonomy+ pricing. Reuters reported a new driver-assistance package called Autonomy+, priced at $2,500 or $49.99 per month—positioned well below Tesla’s Full Self-Driving pricing referenced in the same report ($8,000 or $99 per month). [7]
Rivian’s chip was produced with TSMC. Reuters said the custom chip was produced with TSMC, a detail that matters because it underscores Rivian’s ambition to control key autonomy hardware while scaling. [8]
A longer-term roadmap is now explicit. Reuters also described Rivian’s “Large Driving Model” and its aim to expand from current driver assistance into more advanced autonomy, including “eyes-off” goals discussed for 2026. [9]
Importantly, the market’s reaction has been volatile. Reuters noted Rivian shares fell about 8% immediately after the event—suggesting investors initially worried about costs, timelines, or credibility—before sentiment turned sharply more optimistic as analysts framed the announcements as a competitive leap. [10]
Universal Hands-Free expands Rivian’s real-world autonomy footprint
Another near-term catalyst is that Rivian isn’t just talking about autonomy—it’s shipping features.
On Dec. 18, TechCrunch reported Rivian began rolling out “Universal Hands-Free” for second-generation R1 vehicles, allowing hands-free assisted driving on more than 3.5 million miles of roads across the U.S. and Canada (with important limitations, including that it does not stop for traffic lights or stop signs and requires driver supervision). [11]
Rivian’s own autonomy page also highlights the 3.5 million miles figure and describes related features like lane change on command and co-steer. [12]
For Rivian stock, this matters for two reasons:
- It supports the bull case that Rivian can monetize software (subscriptions or paid packages).
- It gives analysts tangible product evidence to pair with the more ambitious “Gen 3” and R2 autonomy roadmap.
The R2 is still the main event for Rivian’s 2026 stock thesis
Even with all the AI excitement, most forecasts still revolve around a simple reality: Rivian needs a higher-volume, lower-price vehicle to scale.
What Rivian has said about R2 progress
In its third-quarter 2025 financial-results document (Exhibit 99.1), Rivian said R2 progress remains on track for deliveries in the first half of 2026 and described factory readiness work in Normal, Illinois—including equipment bring-up and validation builds expected at year end. [13]
What auto-industry reporting says about price and timing
Car and Driver reported Rivian reiterated that the R2 will start around $45,000 and remain on track for production in the first half of 2026, while detailing validation builds and manufacturing preparations. [14]
That ~$45,000 price point is central to the bullish “demand unlock” narrative because it targets a much broader market than Rivian’s premium-priced R1 lineup.
Rivian’s latest financial snapshot: improving gross profit, big cash needs
One reason Rivian stock can swing hard on sentiment is that the company is still in a transition: operational improvements are real, but losses and investment needs remain significant.
From Rivian’s Q3 2025 financial-results document:
- Q3 2025 revenue:$1.558 billion, up 78% year over year [15]
- Q3 2025 deliveries:13,201 vehicles [16]
- Q3 2025 consolidated gross profit:$24 million [17]
- Cash, cash equivalents, and short-term investments:$7.088 billion (as of Sept. 30, 2025) [18]
Rivian also reaffirmed 2025 guidance (as of that release):
- Vehicles delivered:41,500–43,500
- Adjusted EBITDA:loss of $2.0–$2.25 billion
- Capital expenditures:$1.8–$1.9 billion [19]
For Rivian stock investors, this mix is crucial: the company is demonstrating improving unit economics (including positive quarterly gross profit), but the cash burn and capex profile means execution missteps—or demand shocks—can quickly change the financing narrative.
Macro backdrop: U.S. EV tax credit expiration raises the stakes for 2026 demand
A major demand swing factor in late 2025 is policy.
The IRS states the New Clean Vehicle Credit is not available for vehicles acquired after Sept. 30, 2025, with limited exceptions tied to the concept of “acquired” and contract timing. [20]
Congressional Research Service materials also describe legislation that terminated EV tax credits for vehicles acquired after Sept. 30, 2025. [21]
Why this matters for Rivian (and EV stocks broadly):
- 2025 demand may have been temporarily supported by deadline-driven buying.
- 2026 could see a period where EV makers must rely more on pricing, product mix, financing offers, and differentiation (including software features) to sustain volume.
This is one reason autonomy/software is suddenly so central to the Rivian stock story: it’s a potential path to higher-margin revenue that can help offset cyclical swings in vehicle demand.
Rivian stock forecast: where Wall Street targets sit right now
Rivian’s December run-up has created a visible disconnect between the newest bull targets and broader consensus averages.
Consensus averages still look cautious
A MarketBeat roundup dated Dec. 20 says Rivian has a consensus “Hold” rating across 28 brokerages, with an average 12-month price target of about $15.73—well below where the stock traded after the rally. [22]
A separate Nasdaq/Fintel compilation (as of early December) showed an average one-year price target around $15.23, with a wide range between lower and higher targets—reflecting how divided analysts remain on execution and profitability timelines. [23]
But the marginal buyer is reacting to the new “upper band” targets
December’s upgrades and raised targets are what traders tend to chase in the short run:
- Wedbush: raised target to $25 [24]
- Baird: upgraded Rivian to Buy and raised target to $25, explicitly tying the thesis to the R2 era and autonomy initiatives, according to a Barron’s summary. [25]
- Needham: raised its target to $23 (per Reuters and MarketBeat recaps). [26]
That widening gap—between consensus averages in the mid-teens and a cluster of bullish targets in the 20s—helps explain why Rivian stock has been so reactive: it’s a battleground between “execution risk” models and “platform optionality” models.
Next catalysts for Rivian (RIVN) stock: what to watch after Dec. 20
1) Next earnings date
Investing.com’s earnings calendar lists Rivian’s next earnings report timing around Feb. 19, 2026. [27]
(Third-party calendars can differ slightly on “confirmed” status, but February is the key window investors are now anchored to.)
2) Autonomy+ commercialization in early 2026
Rivian has positioned Autonomy+ as an early-2026 product, and analysts are increasingly modeling software/services as a margin lever rather than a side business. [28]
3) R2 manufacturing milestones
Rivian’s filings point to validation builds and factory readiness work that investors will track closely because R2 is expected to be the company’s first true mass-market volume step-up. [29]
Risks that still matter for Rivian stock (even after the rally)
A Google News-ready Rivian stock outlook needs the downside case too—because Rivian remains a high-beta story where risks can reprice the stock quickly.
Safety, regulatory, and recall risk
Reuters reported Rivian is recalling 34,824 electric delivery vehicles over a seat belt issue, and said the company was not aware of incidents or injuries related to the issue at the time of the report. [30]
Separately, expanding hands-free features can increase scrutiny. TechCrunch noted other automakers with similar systems have faced crashes, investigations, and lawsuits—an industry-wide risk category for any company pushing ADAS forward. [31]
Execution risk on R2 timing and unit economics
Even bullish analysts generally agree: R2 must launch on time and at the promised price/margin profile to justify higher targets. Any slip in timeline, costs, or early quality could pressure both demand and valuation.
Demand risk after EV incentive changes
With U.S. EV purchase credits no longer available for vehicles acquired after Sept. 30, 2025, affordability and financing conditions become even more important in 2026—especially for manufacturers competing in the mid-price segment. [32]
Bottom line for Rivian stock on Dec. 20, 2025
Rivian (RIVN) stock has ripped higher into Dec. 20 on a powerful narrative shift: the company is no longer being discussed only as an EV maker trying to scale manufacturing—it’s being re-framed as a vertically integrated autonomy-and-software platform with a potentially mass-market vehicle (R2) arriving in 2026. [33]
But the rally also leaves Rivian in a spotlight: consensus targets still sit far below the latest bullish price targets, policy tailwinds have changed after the EV credit expiration, and Rivian must execute through a capital-intensive ramp while expanding advanced driver assistance responsibly. [34]
References
1. www.irs.gov, 2. www.sec.gov, 3. techcrunch.com, 4. www.tradingview.com, 5. www.theverge.com, 6. www.reuters.com, 7. www.reuters.com, 8. www.reuters.com, 9. www.reuters.com, 10. www.reuters.com, 11. techcrunch.com, 12. rivian.com, 13. cdn.prod.nntech.io, 14. www.caranddriver.com, 15. cdn.prod.nntech.io, 16. cdn.prod.nntech.io, 17. cdn.prod.nntech.io, 18. cdn.prod.nntech.io, 19. cdn.prod.nntech.io, 20. www.irs.gov, 21. www.congress.gov, 22. www.marketbeat.com, 23. www.nasdaq.com, 24. www.reuters.com, 25. www.barrons.com, 26. www.reuters.com, 27. www.investing.com, 28. www.reuters.com, 29. cdn.prod.nntech.io, 30. www.reuters.com, 31. techcrunch.com, 32. www.irs.gov, 33. www.reuters.com, 34. www.marketbeat.com
