Rivian Automotive (NASDAQ:RIVN) Trading Down 1.1% - Here's Why

Key Points

• Rivian shares fell 1.1% to $15.86 in mid-day trading, with volume 44% below the average session level.
• Analyst sentiment remains mixed, resulting in a consensus “Hold” rating and an average price target of $19.00; recent targets range from $14.00 to $21.00.
• Rivian exceeded quarterly expectations with a loss of $0.63 per share versus a projected $0.66 loss and revenue of $1.66 billion, up 27.2% year over year, though it continues to report substantial losses and negative profitability metrics.

Shares of Rivian Automotive, Inc. (NASDAQ:RIVN - Get Free Report) fell 1.1% on Monday . The stock traded as low as $15.74 and last traded at $15.86. 16,649,142 shares were traded during mid-day trading, a decline of 44% from the average session volume of 29,716,238 shares. The stock had previously closed at $16.03.

Analyst Ratings Changes

A number of equities analysts recently weighed in on RIVN shares. UBS Group upped their target price on shares of Rivian Automotive from $16.00 to $17.00 and gave the stock a "neutral" rating in a research report on Thursday, July 9th. Cantor Fitzgerald reiterated a "neutral" rating and issued a $19.00 price target on shares of Rivian Automotive in a research note on Tuesday, July 28th. Morgan Stanley increased their price objective on shares of Rivian Automotive from $13.00 to $14.00 and gave the company an "underweight" rating in a report on Friday, July 31st. TD Cowen raised their price objective on Rivian Automotive from $20.00 to $21.00 and gave the company a "buy" rating in a research report on Friday, July 31st. Finally, Wells Fargo & Company lifted their target price on Rivian Automotive from $15.00 to $16.00 and gave the stock an "equal weight" rating in a report on Friday, July 31st. Twelve equities research analysts have rated the stock with a Buy rating, nine have issued a Hold rating and seven have assigned a Sell rating to the company's stock. According to data from MarketBeat.com, Rivian Automotive has a consensus rating of "Hold" and an average price target of $19.00.

Rivian Automotive Price Performance

The company has a market cap of $22.96 billion, a P/E ratio of -6.15 and a beta of 1.62. The firm's 50-day moving average is $16.39 and its two-hundred day moving average is $15.91. The company has a debt-to-equity ratio of 0.87, a current ratio of 2.10 and a quick ratio of 1.65.

Rivian Automotive (NASDAQ:RIVN - Get Free Report) last released its quarterly earnings data on Thursday, July 30th. The electric vehicle automaker reported ($0.63) EPS for the quarter, beating the consensus estimate of ($0.66) by $0.03. Rivian Automotive had a negative net margin of 54.96% and a negative return on equity of 73.90%. The business had revenue of $1.66 billion during the quarter, compared to analyst estimates of $1.52 billion. During the same quarter last year, the business earned ($0.97) earnings per share. Rivian Automotive's quarterly revenue was up 27.2% compared to the same quarter last year. Analysts anticipate that Rivian Automotive, Inc. will post -2.98 earnings per share for the current year.

Insider Transactions at Rivian Automotive

In related news, Director Karen Boone sold 20,000 shares of the company's stock in a transaction dated Monday, July 6th. The shares were sold at an average price of $20.00, for a total transaction of $400,000.00. Following the transaction, the director directly owned 110,000 shares in the company, valued at approximately $2,200,000. This represents a 15.38% decrease in their position. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO Claire McDonough sold 13,144 shares of the stock in a transaction dated Tuesday, August 18th. The stock was 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 trade represents a 1.56% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. 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. Over the last ninety days, insiders have sold 41,167 shares of company stock valued at $718,956. 1.48% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On Rivian Automotive

A number of institutional investors and hedge funds have recently modified their holdings of RIVN. Capital International Investors grew its position in 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 valued at $409,374,000 after acquiring an additional 2,418,717 shares during the last quarter. California State Teachers Retirement System lifted its position in shares of Rivian Automotive by 1,696.5% during the second quarter. California State Teachers Retirement System now owns 22,267,094 shares of the electric vehicle automaker's stock worth $386,334,000 after purchasing an additional 21,027,647 shares during the last quarter. Geode Capital Management LLC boosted its stake in shares of Rivian Automotive by 0.4% during the fourth quarter. Geode Capital Management LLC now owns 14,782,865 shares of the electric vehicle automaker's stock valued at $290,568,000 after purchasing an additional 59,503 shares during the period. Norges Bank purchased a new stake in shares of Rivian Automotive during the fourth quarter valued at $220,323,000. Finally, Dimensional Fund Advisors LP grew its holdings in shares of Rivian Automotive by 0.3% in the first quarter. Dimensional Fund Advisors LP now owns 7,438,776 shares of the electric vehicle automaker's stock worth $111,896,000 after purchasing an additional 25,382 shares during the last quarter. 66.25% of the stock is owned by institutional investors.

About Rivian Automotive

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.

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