Capital International Investors Increases Stake in Rivian Automotive, Inc. $RIVN

Key Points

• Capital International Investors increased its Rivian stake by 13.2% in the fourth quarter, buying 2.4 million additional shares and ending with 20.8 million shares worth about $409.4 million.
• Several other institutional investors also adjusted their positions, and hedge funds and other institutions now own 66.25% of Rivian’s stock, signaling continued institutional interest.
• Analyst sentiment remains mixed but leans cautious: Rivian has a Hold consensus rating with an average price target of $18.57, while recent insider sales by CEO RJ Scaringe and CFO Claire McDonough added to selling activity.

Capital International Investors raised its position in Rivian Automotive, Inc. (NASDAQ:RIVN - Free Report) by 13.2% during the fourth quarter, according to its most recent filing with the SEC. The institutional investor owned 20,769,844 shares of the electric vehicle automaker's stock after purchasing an additional 2,418,717 shares during the period. Capital International Investors owned 1.69% of Rivian Automotive worth $409,374,000 at the end of the most recent quarter.

A number of other hedge funds and other institutional investors also recently added to or reduced their stakes in the company. Los Angeles Capital Management LLC purchased a new position in Rivian Automotive in the 4th quarter valued at $65,000. Telemark Asset Management LLC purchased a new position in Rivian Automotive in the 4th quarter valued at $3,942,000. Tradition Wealth Management LLC lifted its holdings in Rivian Automotive by 5.7% in the 4th quarter. Tradition Wealth Management LLC now owns 14,056 shares of the electric vehicle automaker's stock valued at $277,000 after purchasing an additional 753 shares in the last quarter. BI Asset Management Fondsmaeglerselskab A S lifted its holdings in Rivian Automotive by 229.2% in the 4th quarter. BI Asset Management Fondsmaeglerselskab A S now owns 319,001 shares of the electric vehicle automaker's stock valued at $6,288,000 after purchasing an additional 222,100 shares in the last quarter. Finally, WINTON GROUP Ltd purchased a new position in Rivian Automotive in the 4th quarter valued at $329,000. Hedge funds and other institutional investors own 66.25% of the company's stock.

Analyst Upgrades and Downgrades

A number of brokerages have weighed in on RIVN. Cantor Fitzgerald raised their price objective on Rivian Automotive from $18.00 to $19.00 and gave the company a "neutral" rating in a report on Friday, May 1st. Tigress Financial reissued a "buy" rating and set a $25.00 price target on shares of Rivian Automotive in a research report on Friday, April 10th. Needham & Company LLC reissued a "buy" rating and set a $23.00 price target on shares of Rivian Automotive in a research report on Friday, May 1st. Deutsche Bank Aktiengesellschaft raised shares of Rivian Automotive from a "hold" rating to a "buy" rating and boosted their price target for the company from $16.00 to $23.00 in a research report on Friday, February 13th. Finally, Bank of America began coverage on shares of Rivian Automotive in a research report on Wednesday, March 4th. They set an "underperform" rating and a $14.00 price target on the stock. Twelve equities research analysts have rated the stock with a Buy rating, nine have given a Hold rating and six have assigned a Sell rating to the company's stock. Based on data from MarketBeat.com, the stock currently has a consensus rating of "Hold" and an average target price of $18.57.

Insider Activity

In related news, CEO Robert J. Scaringe sold 34,818 shares of the business's stock in a transaction dated Thursday, May 28th. The shares were sold at an average price of $15.00, for a total value of $522,270.00. Following the sale, the chief executive officer directly owned 922,286 shares in the company, valued at approximately $13,834,290. The trade was a 3.64% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO Claire Mcdonough sold 10,245 shares of the business's stock in a transaction dated Wednesday, April 22nd. The shares were sold at an average price of $18.00, for a total transaction of $184,410.00. Following the completion of the sale, the chief financial officer owned 946,814 shares in the company, valued at approximately $17,042,652. This trade represents a 1.07% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last three months, insiders have sold 117,790 shares of company stock worth $1,832,466. Corporate insiders own 1.48% of the company's stock.

Rivian Automotive News Summary

Here are the key news stories impacting Rivian Automotive this week:

• Positive Sentiment: Rivian shares have been rising as investors bet on strong reception for the upcoming R2 SUV launch, with some commentary calling it a potentially transformative step for the company. Here's Why Rivian Stock Jumped This Week
• Positive Sentiment: Volkswagen’s $1 billion investment and minority stake in Rivian add validation to the company’s strategy and may improve investor confidence ahead of the R2 rollout. Volkswagen’s Rivian Stake Puts Focus On R2 Launch And Valuation Gap
• Positive Sentiment: TD Cowen reiterated a buy rating on Rivian, and unusual options activity showed heavy call buying, signaling that traders are still leaning bullish on the stock. Rivian Automotive NASDAQ: RIVN Given "Buy" Rating at TD Cowen
• Positive Sentiment: AT&T-related coverage highlighted Rivian as part of a connected-car growth story, with 5G support for the R2 potentially strengthening the vehicle’s appeal. Can AT&T's Extended Tie-Ups for Connected Car Accelerate Growth?
• Neutral Sentiment: Some articles are framing Rivian as a high-risk, high-reward stock, noting that investors are waiting to see whether the R2 launch can justify the recent run-up in shares. If You Buy Rivian Right Now, Could It Make You a Millionaire?
• Negative Sentiment: The biggest risk for Rivian is that the stock’s recent strength is tied to expectations, so any disappointment around the R2 launch or demand outlook could pressure shares. Rivian: Wait For The R2 Launch

Rivian Automotive Stock Performance

Shares of RIVN stock opened at $16.35 on Monday. The company's 50-day moving average price is $15.45 and its 200-day moving average price is $16.34. The company has a current ratio of 2.10, a quick ratio of 1.64 and a debt-to-equity ratio of 1.00. The stock has a market cap of $20.29 billion, a price-to-earnings ratio of -5.60 and a beta of 1.62. Rivian Automotive, Inc. has a twelve month low of $11.57 and a twelve month high of $22.69.

About Rivian Automotive

Rivian Automotive, Inc is an American automotive technology company specializing in the design, development and manufacture of electric vehicles. The company is best known for its all-electric R1 platform, which underpins the R1T pickup truck and R1S sport utility vehicle. In addition to consumer products, Rivian has secured a significant commercial contract to produce electric delivery vans for a leading e-commerce provider, underscoring its capability to serve both retail and fleet customers.

Founded in 2009 by engineer and entrepreneur Robert “RJ” Scaringe, Rivian has grown from a research-focused startup into a publicly traded corporation.

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