Rivian Automotive (NASDAQ:RIVN) Shares Down 1.4% - Should You Sell?

Key Points

• Rivian Automotive's shares fell 1.4% to $12.24 with trading volumes significantly lower than average, suggesting a potential decrease in investor interest.
• Recent analyst ratings have varied, with Wells Fargo lowering its price target while Piper Sandler increased theirs, reflecting differing confidence in the company's future performance.
• The company's latest quarterly earnings report showed a larger-than-expected loss per share at ($0.97), despite revenue exceeding estimates and a year-over-year increase.

Rivian Automotive, Inc. (NASDAQ:RIVN - Get Free Report)'s share price dropped 1.4% during mid-day trading on Tuesday . The company traded as low as $12.21 and last traded at $12.24. Approximately 9,787,480 shares traded hands during mid-day trading, a decline of 70% from the average daily volume of 33,029,875 shares. The stock had previously closed at $12.41.

Analyst Upgrades and Downgrades

Several analysts have commented on RIVN shares. Wells Fargo & Company decreased their price objective on shares of Rivian Automotive from $14.00 to $13.00 and set an "equal weight" rating for the company in a research note on Wednesday, May 7th. Piper Sandler upped their target price on shares of Rivian Automotive from $13.00 to $15.00 and gave the company a "neutral" rating in a research report on Thursday, May 22nd. Needham & Company LLC cut their target price on shares of Rivian Automotive from $16.00 to $14.00 and set a "buy" rating on the stock in a research note on Wednesday, August 6th. JPMorgan Chase & Co. lowered their target price on shares of Rivian Automotive from $10.00 to $9.00 and set an "underweight" rating on the stock in a research report on Wednesday, August 6th. Finally, Jefferies Financial Group reaffirmed a "hold" rating and set a $16.00 price target on shares of Rivian Automotive in a report on Wednesday, May 14th. Five analysts have rated the stock with a Buy rating, eighteen have issued a Hold rating and three have assigned a Sell rating to the company's stock. According to data from MarketBeat.com, the stock presently has a consensus rating of "Hold" and an average target price of $13.69.

Rivian Automotive Stock Performance

The stock has a market capitalization of $14.81 billion, a price-to-earnings ratio of -3.78 and a beta of 1.80. The company has a quick ratio of 2.72, a current ratio of 3.44 and a debt-to-equity ratio of 0.73. The company's fifty day simple moving average is $13.13 and its 200 day simple moving average is $12.95.

Rivian Automotive (NASDAQ:RIVN - Get Free Report) last posted its quarterly earnings data on Tuesday, August 5th. The electric vehicle automaker reported ($0.97) earnings per share for the quarter, missing the consensus estimate of ($0.65) by ($0.32). Rivian Automotive had a negative return on equity of 58.07% and a negative net margin of 68.06%.The business had revenue of $1.30 billion during the quarter, compared to the consensus estimate of $1.27 billion. During the same period last year, the business posted ($1.46) earnings per share. The business's revenue was up 12.5% on a year-over-year basis. On average, equities research analysts expect that Rivian Automotive, Inc. will post -3.2 earnings per share for the current year.

Hedge Funds Weigh In On Rivian Automotive

A number of large investors have recently made changes to their positions in RIVN. PFS Partners LLC boosted its holdings in shares of Rivian Automotive by 1,882.0% in the 1st quarter. PFS Partners LLC now owns 1,982 shares of the electric vehicle automaker's stock valued at $25,000 after acquiring an additional 1,882 shares during the last quarter. Assetmark Inc. raised its position in Rivian Automotive by 315.6% during the 2nd quarter. Assetmark Inc. now owns 1,787 shares of the electric vehicle automaker's stock worth $25,000 after buying an additional 1,357 shares during the last quarter. Banque Transatlantique SA grew its stake in shares of Rivian Automotive by 13,194.1% during the 1st quarter. Banque Transatlantique SA now owns 2,260 shares of the electric vehicle automaker's stock worth $26,000 after purchasing an additional 2,243 shares during the period. Fairman Group LLC purchased a new stake in shares of Rivian Automotive during the second quarter worth about $31,000. Finally, Orion Capital Management LLC acquired a new position in Rivian Automotive during the fourth quarter valued at approximately $34,000. 66.25% of the stock is owned by hedge funds and other institutional investors.

About Rivian Automotive

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.

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