Should You Buy Rivian If Shares Fall Below $10?

Core Viewpoint - Rivian's stock has seen a significant decline in 2024, losing approximately half its value, but there are potential catalysts for recovery, including the expectation of achieving positive gross margins and the launch of new mass-market vehicles [1][2][4][5]. Group 1: Financial Performance - Rivian's revenue growth has stagnated in 2024, similar to trends seen in the broader electric vehicle market, including Tesla [2][3]. - Despite recent struggles, Rivian's revenue has increased by over 1,000% since going public in 2021, reaching $5 billion earlier this year [5]. Group 2: Future Catalysts - The company aims to achieve positive gross margins by the end of the year, currently losing$32,000 per vehicle sold, which is an improvement from previous quarters [4]. - The upcoming launch of mass-market vehicles (R2, R3, and R3X), expected to be priced under $50,000, could significantly boost revenue and replicate Tesla's success with its Model Y and Model 3 [5][6]. Group 3: Valuation - Rivian shares are currently trading at an 80% discount to Tesla on a price-to-sales basis, indicating a potential buying opportunity for aggressive growth investors [10].