Shares of Rivian (RIVN +2.01%) jumped 12% on Friday following the electric vehicle (EV) maker's inaugural Autonomy & AI Day event.
Image source: Rivian.
A slew of AI-focused developments
Rivian's stock price fell 6% on Thursday after the event concluded. However, investors appeared to have a change of heart after having more time to think about Rivian's announcements.
NASDAQ: RIVN
Key Data Points
Highlights included a custom-designed chip geared toward vision-centric physical artificial intelligence (AI). The Rivian Autonomy Processor (RAP1) integrates highly efficient and performant processing and memory onto a single multi-chip module. RAP1 will help to power Rivian's in-vehicle computers.
Rivian also said it will integrate Light Detection and Ranging (LiDAR) remote sensing technology into future R2 mid-size electric SUV models to improve real-time detection and safety.
Additionally, Rivian introduced Autonomy+, a subscription offering set to launch in early 2026. The service provides hands-free assisted driving on 3.5 million miles of clearly marked roads in the U.S. and Canada. It will be priced at a one-time fee of $2,500 or $49.99 per month.
Some analysts are getting more bullish on Rivian
Investment bank Needham lifted its price target on Rivian's stock to $23 per share following these announcements. "RIVN signaled a shift from an [automaker] adopting autonomy to one leveraging AI to build end-to-end autonomy," Needham analyst Chris Pierce said.
If more investors adopt that view, Rivian's stock price could continue to rally.
