Rivian vs. Tesla: Which EV Stock Is a Better Buy?

Electric vehicle (EV) stocks have significantly underperformed the markets in the past two years. EV manufacturers are wrestling with headwinds such as rising interest rates, inflation, and lower consumer spending, all of which have translated into a tepid demand environment for high-ticket EVs.

Currently, shares of EV giant Tesla (TSLA) are down 52.8% from all-time highs, while Rivian (RIVN) stock is off a staggering 90% from its record levels. However, given the worldwide transition toward EVs in the upcoming decade, it makes sense to buy the dip and benefit from potentially outsized gains when market sentiment recovers. Let’s see which EV stock is a better buy - Tesla or Rivian.