The upstart electric vehicle maker is following Tesla's growth strategy.
We could receive huge news this quarter regarding new vehicle launches.
Rivian Automotive (NASDAQ: RIVN) is expected to release its next quarterly earnings report on or around Nov. 11. This could be one of the most impactful quarters in the company's history. I expect there to be critical updates across several areas of the business.
But there's one potential announcement I'm keeping a close eye on. Positive news could send the stock price soaring.
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Want to scale rapidly as an electric vehicle stock? Tesla has already laid out the playbook: introduce vehicles that are affordable to the masses.
Sure, Tesla's Model X and Model S vehicles were a hit, but they often cost more than $100,000 to purchase. That's why they account for less than 10% of the company's vehicle sales today. The other 90% is dominated by just two models: the Model 3 and Model Y. It's no coincidence that these two models have starting prices of under $50,000.
Right now, Rivian has just two vehicles in its lineup: the R1T and R1S. Like the Model X and Model S, both can cost upwards of $100,000 depending on options. Put simply, these vehicles aren't affordable to the masses. This limits Rivian's growth until more affordable models are launched. Indeed, since the start of 2024, Rivian's sales have grown by just 3.5%.
All of this could change in early 2026, when the first of three new models is expected to start production. All should have starting prices under $50,000. Finally, Rivian will have vehicles that can be purchased by tens of millions of new potential buyers.
Image source: Getty Images.
Earlier this year, Rivian executives confirmed that the R2 should have a starting price of around $45,000 with production expected in the "first half" of 2026. That means Rivian's November conference call will be the last earnings announcement of the 2025 calendar year -- possibly the last before production begins. Positive news confirming near-term production could send shares soaring.
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Ryan Vanzo has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Tesla. The Motley Fool has a disclosure policy.