Rivian Automotive (NASDAQ:RIVN) Price Target Raised to $16.00 at Wells Fargo & Company

Key Points

• Wells Fargo raised Rivian’s price target from $15 to $16 while maintaining an “equal weight” rating, implying only 1.45% upside from the stock’s prior close.
• Analyst sentiment remains mixed: Rivian has an average “Hold” rating and a consensus price target of $19, despite 13 Buy, seven Hold, and six Sell ratings.
• Rivian continues to improve revenue and narrow losses, with the R2 SUV and software partnerships serving as growth catalysts; however, the company remains deeply unprofitable and faces EV demand, pricing, and competition challenges.

Rivian Automotive (NASDAQ:RIVN - Get Free Report) had its target price boosted by equities researchers at Wells Fargo & Company from $15.00 to $16.00 in a note issued to investors on Friday,Benzinga reports. The firm presently has an "equal weight" rating on the electric vehicle automaker's stock. Wells Fargo & Company's price target indicates a potential upside of 1.45% from the stock's previous close.

A number of other research analysts have also issued reports on the company. Canaccord Genuity Group reiterated a "buy" rating and set a $22.00 target price on shares of Rivian Automotive in a research report on Monday, April 6th. Tigress Financial reissued a "buy" rating and issued a $25.00 price target on shares of Rivian Automotive in a report on Friday, April 10th. TD Cowen restated a "buy" rating and set a $20.00 price objective on shares of Rivian Automotive in a research report on Wednesday, June 3rd. Wall Street Zen raised shares of Rivian Automotive from a "strong sell" rating to a "sell" rating in a report on Sunday, May 10th. Finally, DA Davidson lifted their target price on shares of Rivian Automotive from $14.00 to $15.00 and gave the company a "neutral" rating in a research report on Monday, May 11th. Thirteen equities research analysts have rated the stock with a Buy rating, seven have issued a Hold rating and six have given a Sell rating to the company's stock. Based on data from MarketBeat.com, the company currently has an average rating of "Hold" and a consensus target price of $19.00.

Rivian Automotive Price Performance

Shares of Rivian Automotive stock traded down $1.06 on Friday, hitting $15.77. The company's stock had a trading volume of 17,140,108 shares, compared to its average volume of 31,425,805. The company has a debt-to-equity ratio of 1.00, a quick ratio of 1.64 and a current ratio of 2.10. Rivian Automotive has a 1 year low of $11.57 and a 1 year high of $22.69. The firm has a fifty day moving average price of $16.56 and a 200-day moving average price of $15.89. The company has a market capitalization of $21.47 billion, a price-to-earnings ratio of -5.41 and a beta of 1.60.

Rivian Automotive (NASDAQ:RIVN - Get Free Report) last released its quarterly earnings results on Thursday, April 30th. The electric vehicle automaker reported ($0.55) earnings per share for the quarter, topping analysts' consensus estimates of ($0.60) by $0.05. Rivian Automotive had a negative return on equity of 75.65% and a negative net margin of 63.62%.The company had revenue of $1.38 billion during the quarter, compared to analysts' expectations of $1.37 billion. During the same quarter in the prior year, the firm posted ($0.48) EPS. Rivian Automotive's quarterly revenue was up 11.4% compared to the same quarter last year. As a group, sell-side analysts anticipate that Rivian Automotive will post -3.06 earnings per share for the current fiscal year.

Insider Buying and Selling

In related news, CFO Claire Mcdonough sold 8,023 shares of the 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 transaction, the chief financial officer directly owned 887,007 shares of the company's stock, valued at approximately $14,192,112. This represents a 0.90% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Karen Boone sold 20,000 shares of the firm's stock in a transaction on Monday, July 6th. The shares were sold at an average price of $20.00, for a total value of $400,000.00. Following the completion of the transaction, the director owned 110,000 shares in the company, valued at $2,200,000. The trade was a 15.38% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last ninety days, insiders sold 68,385 shares of company stock worth $1,125,094. 1.48% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On Rivian Automotive

Several hedge funds and other institutional investors have recently modified their holdings of the business. Capital International Investors raised its holdings 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. Renaissance Technologies LLC boosted its holdings in shares of Rivian Automotive by 32.4% during the 4th quarter. Renaissance Technologies LLC now owns 16,397,496 shares of the electric vehicle automaker's stock worth $323,195,000 after purchasing an additional 4,012,386 shares during the last quarter. Geode Capital Management LLC boosted its holdings in shares of Rivian Automotive by 0.4% during the 4th quarter. Geode Capital Management LLC now owns 14,782,865 shares of the electric vehicle automaker's stock worth $290,568,000 after purchasing an additional 59,503 shares during the last quarter. Norges Bank purchased a new stake in shares of Rivian Automotive in the fourth quarter valued at approximately $220,323,000. Finally, Soma Equity Partners LP grew its position in shares of Rivian Automotive by 9.9% in the third quarter. Soma Equity Partners LP now owns 9,204,745 shares of the electric vehicle automaker's stock valued at $135,126,000 after purchasing an additional 829,782 shares in the last quarter. 66.25% of the stock is owned by hedge funds and other institutional investors.

Key Stories Impacting Rivian Automotive

Here are the key news stories impacting Rivian Automotive this week:

• Positive Sentiment: Rivian reported second-quarter revenue of $1.66 billion, up 27.2% year over year and above the roughly $1.52 billion consensus estimate. Adjusted results also exceeded expectations, with a loss of $0.47 per share versus forecasts for a $0.66 loss and a $0.97 loss a year earlier. Reuters Rivian earnings article
• Positive Sentiment: The launch of the R2 SUV is emerging as a key growth catalyst. Rivian began external deliveries in June, said demand and conversion rates for the launch edition are exceeding internal expectations, and noted that the model is attracting former Tesla owners and new electric-vehicle buyers. Stocktwits R2 demand article
• Positive Sentiment: Management raised its full-year delivery outlook while maintaining a target of approximately 65,000 to 70,000 vehicles, and reduced planned 2026 spending. Rivian also reported narrowing automotive losses and 37% growth in software revenue, helped by its Volkswagen partnership. CNBC Rivian earnings article
• Positive Sentiment: Needham reaffirmed its Buy rating and set a $23 price target, implying substantial upside from the current reference price of $16.83. Benzinga analyst rating article
• Neutral Sentiment: Rivian’s CEO said Chinese EV manufacturers remain difficult competitors because of significantly lower capital costs, underscoring the structural pricing and efficiency challenges facing the company. Benzinga Chinese EV competition article
• Negative Sentiment: Despite operational improvement, Rivian remains deeply unprofitable, and its R2 production ramp must continue smoothly for the company to reach sustainable margins. Analysts also continue to flag broader U.S. EV demand headwinds and the expiration of consumer tax credits.

About Rivian Automotive

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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