Rivian Automotive (NASDAQ:RIVN) Rating Increased to Sell at Wall Street Zen

Key Points

• Wall Street Zen raised Rivian Automotive from “strong sell” to “sell”, while the broader analyst view remains mixed with an overall Hold rating and an average price target of $18.52.
• Rivian reported quarterly EPS of -$0.54, beating expectations, and revenue of $1.29 billion, slightly above estimates. However, revenue was still down 25.8% year over year and profitability remains deeply negative.
• Recent activity around the stock includes insider share sales by both the CFO and CEO, while institutional ownership remains high at 66.25%. The company is also drawing attention for potential growth catalysts such as lower-priced R2 variants and a major Uber autonomous vehicle order.

Rivian Automotive (NASDAQ:RIVN - Get Free Report) was upgraded by Wall Street Zen from a "strong sell" rating to a "sell" rating in a research note issued on Sunday.

Several other research analysts have also commented on the company. Stifel Nicolaus raised their price objective on Rivian Automotive from $17.00 to $20.00 and gave the company a "buy" rating in a research report on Tuesday, February 17th. UBS Group raised Rivian Automotive from a "sell" rating to a "neutral" rating and upped their target price for the stock from $15.00 to $16.00 in a research report on Friday, February 13th. Wedbush reiterated an "outperform" rating and issued a $25.00 target price on shares of Rivian Automotive in a research note on Friday, February 13th. Cantor Fitzgerald raised their target price on Rivian Automotive from $18.00 to $19.00 and gave the company a "neutral" rating in a report on Friday, May 1st. Finally, Canaccord Genuity Group reissued a "buy" rating and set a $22.00 price target on shares of Rivian Automotive in a research report on Monday, April 6th. Twelve research analysts have rated the stock with a Buy rating, nine have issued a Hold rating and six have assigned a Sell rating to the company. According to MarketBeat.com, the stock has an average rating of "Hold" and an average price target of $18.52.

Rivian Automotive Trading Up 0.3%

NASDAQ RIVN opened at $14.22 on Friday. The firm has a market capitalization of $17.65 billion, a price-to-earnings ratio of -4.87 and a beta of 1.64. 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 one year low of $11.57 and a one year high of $22.69. The company's 50 day moving average price is $15.67 and its 200 day moving average price is $16.25.

Rivian Automotive (NASDAQ:RIVN - Get Free Report) last released its quarterly earnings data on Thursday, February 12th. The electric vehicle automaker reported ($0.54) earnings per share (EPS) for the quarter, topping the consensus estimate of ($0.68) by $0.14. The company had revenue of $1.29 billion during the quarter, compared to the consensus estimate of $1.27 billion. Rivian Automotive had a negative net margin of 63.62% and a negative return on equity of 75.65%. Rivian Automotive's revenue for the quarter was down 25.8% on a year-over-year basis. During the same period in the previous year, the firm earned ($0.70) earnings per share. On average, sell-side analysts predict that Rivian Automotive will post -3.1 EPS for the current year.

Insiders Place Their Bets

In other news, CFO Claire Mcdonough sold 10,245 shares of the firm's stock in a transaction dated Wednesday, April 22nd. The shares were sold at an average price of $18.00, for a total value of $184,410.00. Following the transaction, the chief financial officer directly owned 946,814 shares in the company, valued at approximately $17,042,652. This trade represents a 1.07% decrease in their position. The transaction was disclosed in a filing with the SEC, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Robert J. Scaringe sold 21,446 shares of Rivian Automotive stock in a transaction dated Tuesday, April 14th. The shares were sold at an average price of $16.17, for a total transaction of $346,781.82. Following the completion of the transaction, the chief executive officer directly owned 1,001,138 shares of the company's stock, valued at $16,188,401.46. This trade represents a 2.10% 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 have sold 148,888 shares of company stock worth $2,411,276 over the last three months. 2.16% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On Rivian Automotive

A number of hedge funds and other institutional investors have recently bought and sold shares of the stock. Newbridge Financial Services Group Inc. raised its position in shares of Rivian Automotive by 113.6% during the 2nd quarter. Newbridge Financial Services Group Inc. now owns 1,880 shares of the electric vehicle automaker's stock worth $26,000 after purchasing an additional 1,000 shares during the period. Core Wealth Advisors LLC acquired a new position in Rivian Automotive during the 4th quarter valued at approximately $27,000. Hemington Wealth Management grew its stake in Rivian Automotive by 291.0% during the 3rd quarter. Hemington Wealth Management now owns 2,123 shares of the electric vehicle automaker's stock worth $31,000 after buying an additional 1,580 shares during the last quarter. SOA Wealth Advisors LLC. grew its stake in Rivian Automotive by 894.2% during the 4th quarter. SOA Wealth Advisors LLC. now owns 1,551 shares of the electric vehicle automaker's stock worth $31,000 after buying an additional 1,395 shares during the last quarter. Finally, MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. acquired a new stake in Rivian Automotive in the third quarter worth $31,000. 66.25% of the stock is currently owned by institutional investors and hedge funds.

Rivian Automotive News Summary

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

• Positive Sentiment: Reports that Rivian is developing lower-priced R2 variants suggest a wider addressable market and better sales potential for its next-generation SUV lineup. 1 Surprising Reason Rivian Stock Is a Buy Before the SpaceX IPO
• Positive Sentiment: Uber’s order for 10,000 autonomous vehicles from Rivian reinforces a potential new commercial demand stream and helps validate Rivian’s technology platform. Uber’s Robotaxi And Parking Bets Recast Growth And Risk For Investors
• Neutral Sentiment: Analysts and commentators are also highlighting Rivian as a beneficiary of a possible SpaceX IPO, arguing that a larger EV/tech risk appetite could indirectly help sentiment toward RIVN. Here's Why the SpaceX IPO Makes Rivian Stock a Buy
• Neutral Sentiment: Coverage about high gasoline prices notes that fuel costs likely need to rise further before they materially accelerate EV adoption, which is a broader industry factor rather than a direct Rivian-specific catalyst. How High Gas Prices Need to Rise to Boost Electric Vehicle Sales
• Negative Sentiment: Despite the upbeat R2 news, one report said RIVN is still on track for a third straight week in the red, indicating sentiment remains fragile and investors want proof that the new variants can translate into real demand and better execution. RIVN on track for third straight week in the red despite CEO teasing fresh R2 variants

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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