Rivian Automotive (NASDAQ:RIVN) Stock Price Up 2.4% - Still a Buy?

Key Points

• Rivian shares rose 2.4% to $13.61 in mid-day trading, while trading volume was 32% below its daily average.
• Analyst sentiment is mixed: the consensus rating is Hold, with an average price target of $19.50; 15 analysts rate the stock Buy, seven Hold, and five Sell.
• Rivian reported quarterly EPS of -$0.48, beating estimates of -$0.64, and revenue of $2.15 billion, up 38.3% year over year. The company nevertheless remained unprofitable, with a net margin of -45.88%.

Rivian Automotive, Inc. (NASDAQ:RIVN - Get Free Report)'s stock price shot up 2.4% during mid-day trading on Friday. The company traded as high as $13.65 and last traded at $13.61. Approximately 20,072,244 shares were traded during trading, a decline of 32% from the average daily volume of 29,504,625 shares. The stock had previously closed at $13.29.

Wall Street Analyst Weigh In

A number of equities research analysts have recently commented on RIVN shares. Wells Fargo & Company increased their target price on Rivian Automotive from $15.00 to $16.00 and gave the stock an "equal weight" rating in a research note on Friday, July 31st. Cantor Fitzgerald lowered their price target on Rivian Automotive from $19.00 to $16.00 and set a "neutral" rating for the company in a research report on Friday, October 30th. Wall Street Zen cut shares of Rivian Automotive from a "hold" rating to a "sell" rating in a research note on Saturday, October 31st. Weiss Ratings reiterated a "sell (d-)" rating on shares of Rivian Automotive in a research note on Friday, October 2nd. Finally, Needham & Company LLC cut their price objective on shares of Rivian Automotive from $23.00 to $18.00 and set a "buy" rating on the stock in a research report on Friday, October 30th. Fifteen analysts have rated the stock with a Buy rating, seven have assigned a Hold rating and five have given a Sell rating to the stock. Based on data from MarketBeat.com, Rivian Automotive presently has an average rating of "Hold" and an average target price of $19.50.

Rivian Automotive Stock Up 2.4%

The company has a market cap of $19.71 billion, a P/E ratio of -6.05 and a beta of 1.64. The company's 50-day moving average is $14.27 and its two-hundred day moving average is $15.42. The company has a debt-to-equity ratio of 0.78, a current ratio of 2.18 and a quick ratio of 1.70.

Rivian Automotive (NASDAQ:RIVN - Get Free Report) last released its quarterly earnings data on Thursday, October 29th. The electric vehicle automaker reported ($0.48) earnings per share (EPS) for the quarter, beating the consensus estimate of ($0.64) by $0.16. Rivian Automotive had a negative return on equity of 69.68% and a negative net margin of 45.88%. The business had revenue of $2.15 billion for the quarter, compared to analysts' expectations of $2 billion. During the same period in the prior year, the firm posted ($1.08) EPS. The firm's quarterly revenue was up 38.3% on a year-over-year basis. As a group, equities analysts predict that Rivian Automotive, Inc. will post -2.72 earnings per share for the current fiscal year.

Insider Buying and Selling at Rivian Automotive

In other news, CFO Claire McDonough sold 13,144 shares of the company'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 directly owned 827,201 shares of the company's stock, valued at $11,994,414.50. This represents a 1.56% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available 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 stock in a transaction on Thursday, October 1st. The shares were sold at an average price of $15.00, for a total value of $225,000.00. Following the sale, the insider directly owned 1,001,776 shares in the company, valued at $15,026,640. This trade represents a 1.48% 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. Insiders sold 51,167 shares of company stock valued at $788,306 in the last 90 days. Company insiders own 1.48% of the company's stock.

Hedge Funds Weigh In On Rivian Automotive

Several hedge funds and other institutional investors have recently bought and sold shares of RIVN. Jacobi Capital Management LLC purchased a new stake in Rivian Automotive during the third quarter valued at approximately $25,000. MCF Advisors LLC raised its position in Rivian Automotive by 3,500.0% in the second quarter. MCF Advisors LLC now owns 1,800 shares of the electric vehicle automaker's stock worth $31,000 after acquiring an additional 1,750 shares during the period. Oslo Pensjonsforsikring AS bought a new position in Rivian Automotive in the first quarter worth approximately $39,000. Ancora Advisors LLC bought a new position in Rivian Automotive in the second quarter worth approximately $44,000. Finally, Heritage Family Offices LLP purchased a new position in shares of Rivian Automotive during the 3rd quarter worth $49,000. Institutional investors own 66.25% of the company's stock.

About Rivian Automotive

Rivian Automotive, Inc is an electric vehicle manufacturer that designs, develops and produces all-electric trucks, sport utility vehicles and commercial delivery vans. The company focuses on vehicles intended for outdoor recreation, everyday transportation and fleet use, combining battery-electric powertrains with software and connected-vehicle technologies.

Rivian's consumer vehicle lineup includes the R1T pickup truck and R1S sport utility vehicle. The company also develops electric commercial vans for business and delivery fleets, including vehicles produced through its relationship with Amazon.

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