The EV Stock That's Better Than Tesla

Tesla (NASDAQ: TSLA) doesn't privation to beryllium known lone for its electrical vehicles. Elon Musk's institution is shifting gears distant from its car concern and focusing much connected AI-forward technologies, specified arsenic autonomous driving and robotics. Thus, a lane is opening up for a caller EV banal to instrumentality the lead. Rivian Automotive (NASDAQ: RIVN) has arsenic bully a accidental arsenic immoderate to bash it.

Rivian is steadily gaining traction successful marque designation and is consistently ranked among the champion EVs connected the market. Rivian is besides getting acceptable to motorboat its R2 lineup of vehicles successful aboriginal 2026.

There are a fewer reasons to similar Rivian banal much than Tesla close now. First, it's trading astatine a overmuch much tenable price. Tesla's extraordinarily precocious price-to-earnings ratio is good implicit 300 and the banal is adjacent to its 52-week precocious terms of $495 arsenic of Dec. 19. There's a batch of excitement and hype astir Tesla and what it whitethorn bash with its determination into broader AI, which is wherefore the banal trades astatine a premium. If Tesla solely focused connected remaining an EV company, its valuation would astir surely beryllium lower.

Rivian is successful the midst of a comeback. The institution is down astir 79% from its marketplace debut successful 2021, but reported gross maturation of 78% successful its latest quarterly release. Rivian is expected to determination into the wide marketplace with its adjacent procreation of vehicles. The R2 lineup volition commencement successful the $45,000 range, successful enactment with astir SUV pricing.

Rivian's ambitions aren't rather arsenic wide arsenic Tesla's, but it has plans for autonomous driving and AI systems, which were discussed successful its December "Autonomy and AI Day." It's inactive aboriginal for Rivian, and there's a batch of upside near to seizure if the institution tin win with the motorboat of its caller fleet. Analysts are feeling much assured astir Rivian's direction, which is wherefore it whitethorn beryllium a amended prime than Tesla currently.

Before you bargain banal successful Rivian Automotive, see this:

The Motley Fool Stock Advisor expert squad conscionable identified what they judge are the 10 champion stocks for investors to bargain now… and Rivian Automotive wasn’t 1 of them. The 10 stocks that made the chopped could nutrient monster returns successful the coming years.