Rivian Automotive, Inc. (NASDAQ:RIVN) underwent a notable decline in share price, opening at $10.77, compared to the previous close of $11.02. Subsequently, the shares fell further to $10.68, with a trading volume of 1,574,144 shares before the market opened on Thursday.
Analysis and Rating Adjustments
RIVN has been under close scrutiny by multiple analysts, leading to a range of rating adjustments and changes in price targets. UBS Group notably upgraded Rivian Automotive from a “sell” rating to a “neutral” rating, establishing a $9.00 target price for the company. Conversely, Wells Fargo & Company decreased their price objective from $14.00 to $10.00, assigning Rivian Automotive an “equal weight” rating. Conversely, Piper Sandler raised Rivian Automotive from a “neutral” rating to an “overweight” rating, alongside an increased price objective of $21.00. Presently, one analyst has provided the stock with a sell rating, with the majority falling under hold and buy ratings. As per MarketBeat.com, Rivian Automotive holds a consensus rating of “Moderate Buy,” with an average price target of $19.00.
Financial Performance of Rivian Automotive
In the latest quarterly report released on May 7th, Rivian Automotive reported an EPS of ($1.41), which missed the consensus estimate of ($1.38) by ($0.03). The company also displayed a negative net margin of 111.09% and a negative return on equity of 53.55%. Nevertheless, the company succeeded in generating $1.20 billion in revenue, surpassing analysts’ expectations of $1.15 billion. Looking ahead, equities research analysts anticipate that Rivian Automotive, Inc. will post -4.96 EPS for the current year.
Insider Trading at Rivian Automotive
CEO Robert J. Scaringe recently sold 71,429 shares of Rivian Automotive stock in a transaction dated June 10th, with the stock sold at an average price of $11.49. Following the sale, the CEO now holds 909,691 shares of the company’s stock, valued at $10,452,349.59. This insider activity has been disclosed in a filing with the SEC, indicating that 2.30% of the stock is currently owned by corporate insiders.
Hedge Funds’ Perspective on Rivian Automotive
Prominent hedge funds have made substantial transactions with Rivian Automotive, with Price T Rowe Associates Inc. MD increasing its stake by 35.7% and Baillie Gifford & Co. boosting its position by 714.3% in the first quarter. The company has also garnered attention from Mirae Asset Global Investments Co. Ltd. and Norges Bank, as both acquired significant positions in Rivian Automotive. Overall, 66.25% of the stock is currently owned by institutional investors and hedge funds.
Company Profile of Rivian Automotive
Rivian Automotive, Inc. is a company that specialises in designing, developing, manufacturing, and selling electric vehicles and accessories. Their product portfolio includes a two-row, five-passenger pickup truck under the R1T brand and a three-row, seven-passenger sport utility vehicle under the R1S name.
To conclude, the recent market performance and various analyst ratings changes and predictions offer a comprehensive overview of the current status of Rivian Automotive. It remains to be seen how the company will navigate and overcome the challenges it faces in the rapidly evolving automotive industry.