Rivian Is the Ultimate Growth Stock to Buy Right Now -- Here's Why

Tesla (NASDAQ: TSLA) is present 1 of the astir invaluable companies successful the world, with a marketplace capitalization good supra $1 trillion. Rivian Automotive (NASDAQ: RIVN), meanwhile, is stuck with a marketplace headdress beneath $20 cardinal -- little than 2% the size of Tesla.

Tesla has galore things that Rivian inactive lacks. Most evident is Rivian's deficiency of scale. Tesla is consistently the No. 1 oregon No. 2 shaper of electrical vehicles globally. Rivian, meanwhile, is simply a comparative driblet successful the bucket. But that each should commencement to alteration successful 2026. And combined with 2 different catalysts, Rivian could soon go the eventual maturation stock.

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Rivian's income maturation has sputtered successful caller years. In turn, the marketplace has importantly reduced the valuation it is consenting to wage for shares. In 2023, investors were consenting to wage upwards of 10 times income for the stock. Today, that price-to-sales aggregate is down to conscionable 3.4 -- a two-thirds reduction.

RIVN PS Ratio information by YCharts

What has caused this income maturation stagnation? There are 2 evident culprits. First, EV income sectorwide person slowed down. In 2025, EV volumes successful the U.S. fell by astir 2%. That driblet was fueled by changes successful national subsidies that efficaciously made purchasing an EV much expensive. Those erstwhile subsidies aren't expected to instrumentality anytime soon. The 2nd origin that has slowed Rivian's income maturation has been a deficiency of caller exemplary introduction. The institution hasn't released a caller exemplary successful years, past refreshing its lineup successful mid-2024.

While manufacture pressures aren't apt to abate soon, the 2nd origin hindering Rivian's maturation -- its stale merchandise lineup -- should beryllium resolved reasonably soon with the merchandise of its R2 model. This smaller SUV is expected to outgo little than $50,000, astatine slightest for the basal terms model. With astir 70% of consumers looking to walk little than $50,000 connected their adjacent conveyance purchase, Rivian yet has an affordable exemplary that tin ramp volumes by the millions. Its 2 existing models -- the R1T and R1S -- tin easy outgo $100,000 oregon much retired the door.

When Tesla released its Model Y and Model S vehicles, it entered 1 of its astir awesome multi-year income maturation periods successful its history. While Rivian's comparative occurrence is yet to beryllium determined, I'm precise assured that the adjacent fewer years of income maturation volition transcend the past mates of years. Wall Street analysts agree. Sales maturation for 2026 is expected to scope 30%, with different 66% maturation expected for 2027.