Shares of electric vehicle makers Rivian Automotive Inc (NASDAQ:RIVN) and Lucid Group Inc (NASDAQ:LCID) fell on Wednesday after both companies reported quarterly results that modestly beat expectations but highlighted ongoing challenges, including tepid demand and rising tariff costs.
Rivian’s shares dropped 5.6% after the company posted a narrower-than-expected adjusted EBITDA loss of $300 million for the first quarter, helped by regulatory credits and contributions from its joint venture with Volkswagen.
Quarterly revenue came in at $1.24 billion, topping estimates, but vehicle deliveries dropped 36% from a year ago.
Rivian cut its full-year deliveries outlook to between 40,000 and 46,000 vehicles, citing regulatory uncertainty and weaker consumer sentiment. The company maintained its EBITDA guidance but raised capital expenditure forecasts due to expected tariff impacts.
Lucid, whose shares slid 3.9%, reported an adjusted first-quarter loss of $0.20 per share, narrower than Bank of America and Wall Street estimates, thanks in part to lower operating expenses. Revenue of $235 million missed expectations, and deliveries were weaker than forecast.
Lucid reiterated its 2025 production target of 20,000 vehicles but warned that new tariffs could shave 8% to 15% off gross margins, up from previous estimates. The EV maker said its liquidity would support operations into the second half of 2026.
Despite the earnings beats, Bank of America maintained Underperform ratings on both stocks.
“There are risks to [Rivian’s] outlook due to tariffs... policy/regulatory changes also remain a sizable risk, and it is a long way to the next product launch,” analysts at Bank of America wrote.
For Lucid, the bank added, “The departure of CEO Peter Rawlinson earlier in 2025 increases the risk that product development stalls,” and said longer-term profitability could be delayed.