Rivian Automotive (NASDAQ:RIVN) Shares Down 2.7% - Should You Sell?

Rivian Automotive, Inc. (NASDAQ:RIVN - Get Free Report)'s share price fell 2.7% during trading on Wednesday . The stock traded as low as $12.25 and last traded at $12.29. 12,691,396 shares were traded during trading, a decline of 61% from the average session volume of 32,682,328 shares. The stock had previously closed at $12.63.

Analyst Ratings Changes

Several research firms have recently commented on RIVN. Robert W. Baird reduced their target price on Rivian Automotive from $16.00 to $14.00 and set a "neutral" rating for the company in a research note on Tuesday, April 15th. Wall Street Zen upgraded Rivian Automotive from a "sell" rating to a "hold" rating in a research note on Sunday, June 22nd. Stifel Nicolaus raised their price objective on Rivian Automotive from $16.00 to $18.00 and gave the stock a "buy" rating in a research note on Monday, May 12th. Wedbush reduced their price objective on Rivian Automotive from $20.00 to $18.00 and set an "outperform" rating on the stock in a research note on Wednesday, May 7th. Finally, Guggenheim cut Rivian Automotive from a "buy" rating to a "neutral" rating in a research note on Monday. Three investment analysts have rated the stock with a sell rating, nineteen have assigned a hold rating and five have given a buy rating to the company. Based on data from MarketBeat, the stock currently has a consensus rating of "Hold" and a consensus target price of $14.38.

Rivian Automotive Price Performance

The company has a debt-to-equity ratio of 0.71, a current ratio of 3.73 and a quick ratio of 2.80. The company has a 50-day simple moving average of $14.13 and a two-hundred day simple moving average of $13.09. The stock has a market capitalization of $15.54 billion, a price-to-earnings ratio of -3.70 and a beta of 1.81.

Rivian Automotive (NASDAQ:RIVN - Get Free Report) last issued its earnings results on Tuesday, May 6th. The electric vehicle automaker reported ($0.57) earnings per share for the quarter, topping the consensus estimate of ($0.80) by $0.23. The firm had revenue of $1.24 billion for the quarter, compared to analyst estimates of $981.52 million. Rivian Automotive had a negative return on equity of 60.64% and a negative net margin of 76.83%. The firm's revenue for the quarter was up 3.0% on a year-over-year basis. During the same period last year, the company earned ($1.48) earnings per share. On average, equities research analysts predict that Rivian Automotive, Inc. will post -3.2 earnings per share for the current year.

Insiders Place Their Bets

In other news, CFO Claire Mcdonough sold 17,185 shares of the firm's stock in a transaction on Friday, May 16th. The stock was sold at an average price of $15.39, for a total transaction of $264,477.15. Following the transaction, the chief financial officer directly owned 824,875 shares of the company's stock, valued at approximately $12,694,826.25. This trade represents a 2.04% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Also, CEO Robert J. Scaringe sold 107,144 shares of the firm's stock in a transaction on Thursday, May 15th. The shares were sold at an average price of $15.25, for a total value of $1,633,946.00. Following the transaction, the chief executive officer directly owned 1,483,111 shares in the company, valued at $22,617,442.75. This trade represents a 6.74% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold 241,407 shares of company stock worth $3,553,883 over the last three months. Corporate insiders own 2.16% of the company's stock.

Institutional Inflows and Outflows

A number of large investors have recently modified their holdings of RIVN. Capital International Investors acquired a new position in shares of Rivian Automotive during the fourth quarter valued at $144,030,000. Norges Bank acquired a new position in shares of Rivian Automotive during the fourth quarter valued at $123,308,000. Vanguard Group Inc. increased its holdings in shares of Rivian Automotive by 7.8% during the first quarter. Vanguard Group Inc. now owns 77,092,693 shares of the electric vehicle automaker's stock valued at $959,804,000 after purchasing an additional 5,610,688 shares during the period. Northern Trust Corp grew its holdings in Rivian Automotive by 68.5% during the fourth quarter. Northern Trust Corp now owns 7,238,696 shares of the electric vehicle automaker's stock worth $96,275,000 after acquiring an additional 2,941,928 shares during the period. Finally, Nuveen LLC acquired a new position in Rivian Automotive during the first quarter worth about $33,582,000. 66.25% of the stock is owned by institutional investors and hedge funds.

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.