Rivian Unveils R2 Crossover and Surprising R3 Variants

Monday, 11 March 2024, 10:53

Rivian shocked investors with the introduction of the R2 crossover and unexpected R3 models. Despite concerns about flat 2024 production numbers, the company's move towards more affordable EVs like the R2 could be a game-changer. With cost-cutting efforts underway and the promise of gross-profit positivity, Rivian faces a challenging yet potentially rewarding year ahead.
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Rivian Unveils R2 Crossover and Surprising R3 Variants

Rivian Stuns Investors With a Surprise Vehicle

Rivian unveiled the upcoming R2 vehicles, but also had two other important things for investors -- including news of another vehicle. Rivian arguably exited 2023 with as much momentum and optimism as any young electric vehicle (EV) maker. The optimism faded quickly when the company later announced its 2024 production numbers would likely be flat compared to the prior year.

Home run moment

It's pretty safe to say that early adopters for EVs have long been on the market, and that high-priced EV segments are saturated. As automakers are hurrying to introduce more-affordable EVs for consumers loudly demanding lower prices, Rivian's R2 platform could be the company's home run moment when it begins to reach the scale needed to become a great EV stock.

  • The pessimism surrounding Rivian is due to its production guidance, which failed to inspire investors expecting significant growth in 2024.
  • The lack of demand likely stems from the company's prices, which start at $71,700 for the R1T and $76,700 for the R1S -- and that's after recent price cuts.

One more thing

The biggest surprise at the R2 reveal might have been two previously unheard-of vehicles, the R3 crossover and R3X performance version. In a world of endless data leaks, the R3 introduction caught investors off guard.

  1. While details and specs on the R3 are practically nonexistent, it leaves intrigue with investors if it could lower the price tags a little more, slide into a different segment, or offer new trims.
  2. What might be of even more interest to investors is that the company is accelerating the R2 timeline by starting production at its original factory, rather than waiting for the upcoming Georgia factory to be completed.

That change of plans will enable Rivian to roll out production of the R2 in the first half of 2026.

Rivian has a lot of work to do, and 2024 is shaping up to be a bumpy ride. The company remains highly speculative with its rapid cash burn, but if its R2 models boost sales significantly, this could prove a great time to buy the stock, which has shed 87% of its value since its initial public offering.


This article was prepared using information from open sources in accordance with the principles of Ethical Policy. The editorial team is not responsible for absolute accuracy, as it relies on data from the sources referenced.


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