Rivian Automotive (NASDAQ:RIVN) Shares Climb 1.2% - Time to Buy?

Key Points

• Rivian shares rose 1.2% to $14.97, while trading volume was slightly below average. The stock remains below its 50-day and 200-day moving averages, both near $15.90.
• Analyst sentiment is mixed: 12 analysts rate Rivian a Buy, nine rate it Hold and seven rate it Sell, producing a consensus Hold rating with a $19.00 target price.
• Rivian exceeded quarterly expectations with a $0.63 per-share loss versus the forecasted $0.66 loss and revenue of $1.66 billion, up 27.2% year over year. However, the company remains unprofitable, with a negative net margin of 54.96% and analysts expecting a full-year loss.

Rivian Automotive, Inc. (NASDAQ:RIVN - Get Free Report)'s stock price was up 1.2% on Tuesday. The company traded as high as $15.34 and last traded at $14.97. Approximately 28,036,240 shares were traded during trading, a decline of 5% from the average daily volume of 29,415,346 shares. The stock had previously closed at $14.79.

Wall Street Analysts Forecast Growth

A number of analysts have commented on RIVN shares. Deutsche Bank Aktiengesellschaft lowered shares of Rivian Automotive from a "buy" rating to an "underperform" rating in a research note on Tuesday, August 4th. Weiss Ratings upgraded shares of Rivian Automotive from a "sell (e+)" rating to a "sell (d-)" rating in a report on Monday, July 6th. Jefferies Financial Group boosted their price objective on Rivian Automotive from $16.00 to $17.00 and gave the stock a "hold" rating in a report on Tuesday, July 7th. Needham & Company LLC reiterated a "buy" rating on shares of Rivian Automotive in a research note on Monday, August 10th. Finally, BNP Paribas Exane boosted their price target on shares of Rivian Automotive from $22.00 to $24.00 and gave the stock an "outperform" rating in a report on Wednesday, July 8th. Twelve research analysts have rated the stock with a Buy rating, nine have given a Hold rating and seven have given a Sell rating to the company. Based on data from MarketBeat, Rivian Automotive currently has a consensus rating of "Hold" and a consensus target price of $19.00.

Rivian Automotive Stock Up 1.2%

The company has a current ratio of 2.10, a quick ratio of 1.65 and a debt-to-equity ratio of 0.87. The firm has a market cap of $21.67 billion, a P/E ratio of -5.80 and a beta of 1.62. The stock's fifty day moving average is $15.89 and its two-hundred day moving average is $15.90.

Rivian Automotive (NASDAQ:RIVN - Get Free Report) last released its quarterly earnings results on Thursday, July 30th. The electric vehicle automaker reported ($0.63) EPS for the quarter, beating analysts' consensus estimates of ($0.66) by $0.03. The firm had revenue of $1.66 billion during the quarter, compared to analyst estimates of $1.52 billion. Rivian Automotive had a negative net margin of 54.96% and a negative return on equity of 73.90%. The business's revenue for the quarter was up 27.2% on a year-over-year basis. During the same period in the previous year, the business earned ($0.97) EPS. As a group, research analysts anticipate that Rivian Automotive, Inc. will post -2.96 earnings per share for the current year.

Insiders Place Their Bets

In other Rivian Automotive news, CFO Claire McDonough sold 13,144 shares of the company's stock in a transaction dated Tuesday, August 18th. The shares were sold at an average price of $14.50, for a total transaction of $190,588.00. Following the completion of the sale, the chief financial officer directly owned 827,201 shares in the company, valued at $11,994,414.50. This represents a 1.56% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, Director Karen Boone sold 20,000 shares of Rivian Automotive stock in a transaction dated Monday, July 6th. The stock was sold at an average price of $20.00, for a total value of $400,000.00. Following the completion of the transaction, the director owned 110,000 shares in the company, valued at approximately $2,200,000. This represents a 15.38% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last ninety days, insiders have sold 56,167 shares of company stock valued at $963,306. 1.48% of the stock is currently owned by corporate insiders.

Institutional Trading of Rivian Automotive

Hedge funds and other institutional investors have recently bought and sold shares of the stock. Norges Bank bought a new stake in shares of Rivian Automotive during the fourth quarter valued at approximately $220,323,000. Bank of New York Mellon Corp purchased a new stake in Rivian Automotive during the 2nd quarter valued at $49,915,000. Capital International Investors increased its holdings in shares of Rivian Automotive by 13.2% in the 4th quarter. Capital International Investors now owns 20,769,844 shares of the electric vehicle automaker's stock worth $409,374,000 after purchasing an additional 2,418,717 shares in the last quarter. Hsbc Holdings PLC raised its stake in shares of Rivian Automotive by 55.8% in the first quarter. Hsbc Holdings PLC now owns 3,097,836 shares of the electric vehicle automaker's stock worth $46,625,000 after purchasing an additional 1,109,171 shares during the last quarter. Finally, USS Investment Management Ltd bought a new position in shares of Rivian Automotive during the first quarter valued at $12,683,000. Institutional investors own 66.25% of the company's stock.

About Rivian Automotive

Rivian Automotive, Inc is an electric vehicle manufacturer focused on developing and producing vehicles designed for adventure, utility and commercial use. The company's lineup includes the R1T electric pickup truck and R1S electric SUV, which feature all-electric powertrains, advanced driver-assistance technology and software-enabled vehicle systems.

Rivian also develops electric commercial vehicles, including delivery vans, along with vehicle software, charging solutions and related services.

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