Rivian Automotive's (RIVN) long-term outlook continues to remain positive amid a challenging environment for electric vehicle firms, Wedbush said in a Friday note.

"We continue to remain confident in the long-term vision that RIVN is amid a massive transformation," the report said.

The note pointed to the company looking to optimize its R1 production and further preparing to ramp its R2 and midsize platform supply chains starting in 2026.

The report also said its Q4 results featured beats across the board while providing "hittable" 2026 guidance, implying a year-over-year growth of 54% at the midpoint of the year.

Further, Rivian is advancing its AI capabilities with a new voice assistant powered by its in-house agentic AI framework, the note said, adding that its custom chip for self-driving technology is expected to debut in late 2026 across its F2 fleet.

Wedbush kept its outperform rating and $25 price target.

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