Rivian Stock Faces Potential 20 Percent Drop Amid Bleak Sales Forecast Analyst Warns

Rivian Automotive Inc. is facing a potential decline in its stock value, which may drop by 20 percent. This warning comes from analyst Vijay Rakesh at Mizuho, who has revised his outlook on the company.
Analyst’s Assessment of Rivian
On October 20, 2025, Rakesh reduced his price target for Rivian’s stock (ticker: RIVN) from $14 to $10. This adjustment indicates a significant 23% decrease from the stock’s recent closing price of approximately $13.
Impact of Expired Tax Credits
The downturn in Rivian’s stock is attributed to the expiration of a crucial U.S. tax credit for electric vehicles (EVs). Prior to its expiration in September, consumers hurried to take advantage of these incentives, boosting Rivian’s sales significantly.
- Stock Ticker: RIVN
- Previous Price Target: $14
- New Price Target: $10
- Percentage Drop: 23%
- Last Closing Price: $13
- Tax Credit Expiration: September 2025
As the sales environment becomes more challenging due to the lack of incentives, Rivian may experience a slower growth trajectory. Investors should remain vigilant regarding factors that could further impact the company’s performance in the future.