Rivian Automotive (NASDAQ:RIVN) Downgraded to "Sell" Rating by Wall Street Zen

Key Points

• Rivian Automotive was downgraded from a "hold" to a "sell" rating by Wall Street Zen, reflecting a significant shift in analyst sentiment toward the company's stock.
• Rivian's stock target prices have been reduced by several firms, with JPMorgan lowering it to $10.00 and Wells Fargo to $13.00, while the current consensus rating is "Hold" with an average target price of $14.38.
• Rivian reported a quarterly earnings per share of ($0.57), surpassing estimates, with revenue of $1.24 billion, indicating a slight growth compared to the previous year's quarter.

Rivian Automotive (NASDAQ:RIVN - Get Free Report) was downgraded by Wall Street Zen from a "hold" rating to a "sell" rating in a research report issued on Saturday.

Several other equities analysts have also weighed in on the stock. Wells Fargo & Company cut their price objective on shares of Rivian Automotive from $14.00 to $13.00 and set an "equal weight" rating on the stock in a research report on Wednesday, May 7th. Needham & Company LLC cut their price objective on Rivian Automotive from $17.00 to $16.00 and set a "buy" rating for the company in a report on Wednesday, May 7th. Jefferies Financial Group reaffirmed a "hold" rating and issued a $16.00 price target on shares of Rivian Automotive in a report on Wednesday, May 14th. Guggenheim lowered Rivian Automotive from a "buy" rating to a "neutral" rating in a research report on Monday, July 14th. Finally, Robert W. Baird decreased their target price on Rivian Automotive from $16.00 to $14.00 and set a "neutral" rating for the company in a research report on Tuesday, April 15th. Four equities research analysts have rated the stock with a sell rating, eighteen have given a hold rating and five have issued a buy rating to the stock. According to MarketBeat.com, Rivian Automotive presently has a consensus rating of "Hold" and an average target price of $14.38.

Rivian Automotive Trading Down 5.2%

RIVN stock traded down $0.72 during mid-day trading on Friday, reaching $13.06. 38,701,915 shares of the stock traded hands, compared to its average volume of 32,281,536. The company has a current ratio of 3.73, a quick ratio of 2.80 and a debt-to-equity ratio of 0.71. Rivian Automotive has a 52-week low of $9.50 and a 52-week high of $17.15. The company has a market cap of $14.77 billion, a P/E ratio of -3.51 and a beta of 1.81. The stock's fifty day moving average is $13.96 and its 200-day moving average is $13.04.

Rivian Automotive (NASDAQ:RIVN - Get Free Report) last posted its quarterly earnings data on Tuesday, May 6th. The electric vehicle automaker reported ($0.57) EPS for the quarter, beating analysts' consensus estimates of ($0.80) by $0.23. Rivian Automotive had a negative net margin of 76.83% and a negative return on equity of 60.64%. The company had revenue of $1.24 billion during the quarter, compared to analyst estimates of $981.52 million. During the same period in the prior year, the firm earned ($1.48) earnings per share. The business's quarterly revenue was up 3.0% on a year-over-year basis. As a group, sell-side analysts expect that Rivian Automotive will post -3.2 earnings per share for the current year.

Insiders Place Their Bets

In other Rivian Automotive news, CFO Claire Mcdonough sold 17,185 shares of Rivian Automotive stock in a transaction dated Friday, May 16th. The stock was sold at an average price of $15.39, for a total value of $264,477.15. Following the transaction, the chief financial officer owned 824,875 shares in the company, valued at $12,694,826.25. The trade was a 2.04% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available at this link. Also, CEO Robert J. Scaringe sold 71,428 shares of the stock in a transaction dated Monday, May 19th. The stock was sold at an average price of $15.36, for a total transaction of $1,097,134.08. Following the completion of the transaction, the chief executive officer directly owned 1,483,111 shares of the company's stock, valued at $22,780,584.96. This trade represents a 4.59% decrease in their position. The disclosure for this sale can be found here. In the last 90 days, insiders sold 205,694 shares of company stock worth $3,144,612. 2.16% of the stock is owned by company insiders.

Institutional Trading of Rivian Automotive

Several hedge funds and other institutional investors have recently made changes to their positions in the company. PFS Partners LLC lifted its stake in shares of Rivian Automotive by 1,882.0% in the first quarter. PFS Partners LLC now owns 1,982 shares of the electric vehicle automaker's stock worth $25,000 after acquiring an additional 1,882 shares during the period. Banque Transatlantique SA grew its holdings in Rivian Automotive by 13,194.1% during the first quarter. Banque Transatlantique SA now owns 2,260 shares of the electric vehicle automaker's stock worth $26,000 after buying an additional 2,243 shares in the last quarter. Fairman Group LLC bought a new position in Rivian Automotive in the 2nd quarter valued at $31,000. Orion Capital Management LLC purchased a new stake in Rivian Automotive in the 4th quarter worth about $34,000. Finally, WPG Advisers LLC purchased a new stake in Rivian Automotive during the 1st quarter worth about $34,000. 66.25% of the stock is currently owned by institutional investors.

Rivian Automotive Company Profile

Rivian Automotive, Inc, together with its subsidiaries, designs, develops, manufactures, and sells electric vehicles and accessories. The company offers consumer vehicles, including a two-row, five-passenger pickup truck under the R1T brand, a three-row, seven-passenger sport utility vehicle under the R1S name.