Rivian Automotive (NASDAQ: RIVN) shares have plunged more than 50% year to date. Much of that stemmed from investor disappointment when the management's 2024 outlook revealed the company doesn't see any potential for production growth compared to last year.

But one Wall Street firm just initiated coverage on the the electric vehicle (EV) start-up saying the stock's drop now makes Rivian a buying opportunity. Jefferies analyst Philippe Houchois started coverage of the EV maker with a buy rating and a price target of $16. That's over 30% higher than where shares trade as of this writing, even after the stock jumped about 13% on Thursday on the news of its R2 platform announcement and buy rating.

In a general assessment of Rivian, Houchois compared it to EV leader . He noted that "Rivian has looked closest to Tesla in spirit, with its own software stack, strong brand identity, global potential, and similar growth pains."

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Source Fool.com