Rivian Automotive (NASDAQ:RIVN) Stock Price Down 4.4% - What's Next?

Key Points

• Rivian shares fell 4.4% in midday trading to $14.79, with volume below the stock’s average daily level.
• Analysts have a mixed outlook: Rivian holds an average “Hold” rating and a $19.00 consensus price target, while recent actions included a downgrade to “Underperform” and several target-price increases.
• The company beat quarterly EPS and revenue estimates, but remains unprofitable, reporting a negative net margin of 54.96%; insiders have sold about $963,000 of stock over the past 90 days.

Rivian Automotive, Inc. (NASDAQ:RIVN - Get Free Report)'s stock price fell 4.4% during mid-day trading on Monday. The stock traded as low as $14.75 and last traded at $14.79. 24,885,237 shares were traded during trading, a decline of 15% from the average daily volume of 29,401,094 shares. The stock had previously closed at $15.47.

Analysts Set New Price Targets

Several equities analysts recently commented on the stock. Citigroup initiated coverage on shares of Rivian Automotive in a research report on Monday, September 14th. They issued a "hold" rating and a $18.00 price objective for the company. Deutsche Bank Aktiengesellschaft lowered Rivian Automotive from a "buy" rating to an "underperform" rating in a research report on Tuesday, August 4th. Wall Street Zen raised Rivian Automotive from a "sell" rating to a "hold" rating in a research report on Saturday, September 19th. BNP Paribas Exane raised their price objective on shares of Rivian Automotive from $22.00 to $24.00 and gave the stock an "outperform" rating in a research note on Wednesday, July 8th. Finally, Jefferies Financial Group raised their target price on Rivian Automotive from $16.00 to $17.00 and gave the company a "hold" rating in a research report on Tuesday, July 7th. Twelve equities research analysts have rated the stock with a Buy rating, nine have assigned a Hold rating and seven have issued a Sell rating to the company. According to MarketBeat, Rivian Automotive presently has an average rating of "Hold" and an average target price of $19.00.

Rivian Automotive Stock Performance

The firm's 50-day moving average is $15.94 and its two-hundred day moving average is $15.91. 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 stock has a market cap of $21.41 billion, a price-to-earnings ratio of -5.73 and a beta of 1.62.

Rivian Automotive (NASDAQ:RIVN - Get Free Report) last announced its earnings results on Thursday, July 30th. The electric vehicle automaker reported ($0.63) earnings per share (EPS) for the quarter, topping the consensus estimate of ($0.66) by $0.03. The company had revenue of $1.66 billion for the quarter, compared to analysts' expectations of $1.52 billion. Rivian Automotive had a negative net margin of 54.96% and a negative return on equity of 73.90%. The firm's quarterly revenue was up 27.2% on a year-over-year basis. During the same quarter in the previous year, the company posted ($0.97) EPS. As a group, sell-side analysts expect 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 business's stock in a transaction on Tuesday, August 18th. The stock was sold at an average price of $14.50, for a total transaction of $190,588.00. Following the transaction, the chief financial officer owned 827,201 shares of the company's stock, valued at approximately $11,994,414.50. The trade was a 1.56% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is accessible through the SEC website. 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, insider Michael John Callahan sold 15,000 shares of the company's stock in a transaction dated Friday, September 11th. The shares were sold at an average price of $16.29, for a total transaction of $244,350.00. Following the completion of the sale, the insider directly owned 1,016,776 shares of the company's stock, valued at $16,563,281.04. This represents a 1.45% 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 90 days, insiders have sold 56,167 shares of company stock valued at $963,306. Insiders own 1.48% of the company's stock.

Institutional Trading of Rivian Automotive

Hedge funds and other institutional investors have recently modified their holdings of the business. Core Wealth Advisors LLC acquired a new position in Rivian Automotive in the fourth quarter valued at about $27,000. MCF Advisors LLC increased its position in shares of Rivian Automotive by 3,500.0% during the second quarter. MCF Advisors LLC now owns 1,800 shares of the electric vehicle automaker's stock valued at $31,000 after acquiring an additional 1,750 shares during the last quarter. Ancora Advisors LLC purchased a new stake in shares of Rivian Automotive in the 2nd quarter valued at approximately $44,000. Oslo Pensjonsforsikring AS purchased a new stake in shares of Rivian Automotive in the 1st quarter valued at approximately $39,000. Finally, Osbon Capital Management LLC acquired a new position in shares of Rivian Automotive in the 4th quarter worth approximately $57,000. 66.25% of the stock is owned by institutional investors and hedge funds.

Rivian Automotive Company Profile

Rivian Automotive, Inc designs, develops and manufactures electric vehicles and related technology. Its consumer vehicle lineup includes the R1T electric pickup truck and R1S electric SUV, which are designed for on-road and off-road use. The company also develops charging solutions, vehicle software and connected services intended to support the ownership and operation of its electric vehicles.

Rivian produces electric commercial vans for delivery and fleet applications, including vehicles developed through its relationship with Amazon.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.