Rivian Automotive (NASDAQ:RIVN) Given New $13.00 Price Target at Morgan Stanley

Key Points

• Morgan Stanley raised its price target on Rivian Automotive to $13 from $12, while keeping an underweight rating. The new target implies about 24.9% downside from the stock’s current price.
• Analyst sentiment on Rivian remains mixed overall: the company has 12 Buy, 8 Hold, and 6 Sell ratings, with a consensus rating of Hold and an average price target of $18.86.
• Rivian recently beat quarterly earnings expectations, reporting a smaller-than-expected loss and slightly better revenue than forecast, but the company still posted negative margins and insiders, including the CEO and CFO, sold shares in recent months.

Rivian Automotive (NASDAQ:RIVN - Get Free Report) had its target price hoisted by stock analysts at Morgan Stanley from $12.00 to $13.00 in a research note issued on Tuesday,Benzinga reports. The brokerage currently has an "underweight" rating on the electric vehicle automaker's stock. Morgan Stanley's price target suggests a potential downside of 24.90% from the stock's current price.

Several other analysts have also commented on RIVN. Canaccord Genuity Group reaffirmed a "buy" rating and issued a $22.00 price objective on shares of Rivian Automotive in a report on Monday, April 6th. Needham & Company LLC restated a "buy" rating and set a $23.00 target price on shares of Rivian Automotive in a research note on Wednesday, June 10th. Weiss Ratings upgraded Rivian Automotive from a "sell (e+)" rating to a "sell (d-)" rating in a research note on Monday, July 6th. Cantor Fitzgerald reissued a "neutral" rating on shares of Rivian Automotive in a report on Monday, June 15th. Finally, Jefferies Financial Group raised their target price on shares of Rivian Automotive from $16.00 to $17.00 and gave the company a "hold" rating in a report on Tuesday, July 7th. Twelve equities research analysts have rated the stock with a Buy rating, eight have given a Hold rating and six have issued a Sell rating to the company's stock. According to data from MarketBeat, Rivian Automotive currently has a consensus rating of "Hold" and an average price target of $18.86.

Rivian Automotive Stock Performance

Shares of RIVN stock opened at $17.31 on Tuesday. The company's 50-day moving average is $15.79 and its 200 day moving average is $16.17. Rivian Automotive has a one year low of $11.57 and a one year high of $22.69. The company has a debt-to-equity ratio of 1.00, a quick ratio of 1.64 and a current ratio of 2.10. The company has a market capitalization of $21.48 billion, a price-to-earnings ratio of -5.93 and a beta of 1.60.

Rivian Automotive (NASDAQ:RIVN - Get Free Report) last announced its quarterly earnings results on Thursday, April 30th. The electric vehicle automaker reported ($0.55) earnings per share for the quarter, beating the consensus estimate of ($0.60) by $0.05. Rivian Automotive had a negative net margin of 63.62% and a negative return on equity of 75.65%. The company had revenue of $1.38 billion during the quarter, compared to the consensus estimate of $1.37 billion. During the same quarter last year, the firm earned ($0.48) earnings per share. The firm's quarterly revenue was up 11.4% compared to the same quarter last year. Sell-side analysts expect that Rivian Automotive will post -3.07 EPS for the current fiscal year.

Insider Buying and Selling at Rivian Automotive

In other Rivian Automotive news, CFO Claire Mcdonough sold 8,023 shares of the company's stock in a transaction on Friday, May 29th. The stock was sold at an average price of $16.00, for a total value of $128,368.00. Following the completion of the sale, the chief financial officer directly owned 887,007 shares in the company, valued at approximately $14,192,112. This represents a 0.90% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Robert J. Scaringe sold 34,818 shares of the company's stock in a transaction dated Thursday, May 28th. The stock was sold at an average price of $15.00, for a total transaction of $522,270.00. Following the completion of the sale, the chief executive officer directly owned 922,286 shares of the company's stock, valued at approximately $13,834,290. This trade represents a 3.64% decrease in their ownership of the stock. 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. Insiders sold a total of 78,630 shares of company stock valued at $1,309,504 in the last ninety days. Corporate insiders own 1.48% of the company's stock.

Institutional Trading of Rivian Automotive

A number of institutional investors have recently modified their holdings of RIVN. Norges Bank acquired a new stake in shares of Rivian Automotive in the 4th quarter worth $220,323,000. Renaissance Technologies LLC increased its holdings in shares of Rivian Automotive by 32.4% during the fourth quarter. Renaissance Technologies LLC now owns 16,397,496 shares of the electric vehicle automaker's stock valued at $323,195,000 after acquiring an additional 4,012,386 shares in the last quarter. Capital International Investors increased its holdings in shares of Rivian Automotive by 13.2% during the fourth 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 in the last quarter. AQR Capital Management LLC raised its position in shares of Rivian Automotive by 496.6% in the 2nd quarter. AQR Capital Management LLC now owns 2,305,236 shares of the electric vehicle automaker's stock valued at $31,490,000 after purchasing an additional 1,918,852 shares during the last quarter. Finally, Worldquant Millennium Advisors LLC raised its position in shares of Rivian Automotive by 1,353.6% in the 2nd quarter. Worldquant Millennium Advisors LLC now owns 2,058,284 shares of the electric vehicle automaker's stock valued at $28,281,000 after purchasing an additional 1,916,686 shares during the last quarter. 66.25% of the stock is currently owned by institutional investors.

Rivian Automotive Company Profile

Rivian Automotive, Inc is an American automotive technology company specializing in the design, development and manufacture of electric vehicles. The company is best known for its all-electric R1 platform, which underpins the R1T pickup truck and R1S sport utility vehicle. In addition to consumer products, Rivian has secured a significant commercial contract to produce electric delivery vans for a leading e-commerce provider, underscoring its capability to serve both retail and fleet customers.

Founded in 2009 by engineer and entrepreneur Robert “RJ” Scaringe, Rivian has grown from a research-focused startup into a publicly traded corporation.

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