What happened

Rivian Automotive (RIVN -7.01%) continues to be one of the more widely followed electric vehicle (EV) start-ups. The stock moved higher today after one analyst reiterated a bullish take on the company and the stock on Friday. It also comes as Rivian's third-quarter update approaches. Rivian stock was up 3.6% as of 3:18 p.m. ET. 

So what

Wedbush Securities' Dan Ives remained optimistic Friday on the EV maker's future due to several factors. MarketWatch shared that the analyst has the equivalent of a buy rating on Rivian shares with a stock price target of $45. Ives believes that price is a fairly conservative three times estimated 2025 revenue. 

A yellow Rivian R1T electric pickup truck on production line.

Image source: Rivian Automotive.

Now what

Ives pointed to the fact that Rivian's electric pickup truck and SUV models have entered the market ahead of new offerings from traditional automakers that are just now building EV lineups. He also believes Rivian's relationships with Amazon and Mercedes-Benz differentiate it from other EV start-ups. 

Rivian has already been delivering on the Amazon order for 100,000 of its electric delivery vehicles. In early September Rivian also announced a new partnership with the Mercedes-Benz van division. The companies plan to form a joint venture that will manufacture electric delivery vans in Europe using existing Mercedes-Benz assets. 

Ives believes there will be increasing demand for these types of commercial electric vehicles. Rivian, and other EV makers, have been limited in growing production volumes due to widespread supply chain constraints. As those issues fade, volumes should rise and Rivian could be very well positioned for the commercial side of the business. Investors will learn more when Rivian provides its third-quarter update after the market closes on Nov. 9.