Rivian Automotive (NASDAQ:RIVN) Shares Gap Down - What's Next?

Key Points

• Rivian Automotive's shares gapped down from a previous close of $14.61 to an opening at $14.13, with the last trade at $13.63 amid heavy trading volume of 21,555,800.
• Analyst ratings have varied, with UBS Group lowering their price target to $12.00 and Goldman Sachs raising theirs to $15.00, resulting in an average target of $13.85 and a dominant "Hold" rating across analyst coverage.
• Rivian's recent earnings report revealed a missed EPS estimate at \(-$0.97\), alongside revenue of \($1.30 billion\) which exceeded expectations, leading analysts to predict a total EPS of \(-$3.2\) for the current year.

Shares of Rivian Automotive, Inc. (NASDAQ:RIVN - Get Free Report) gapped down before the market opened on Thursday . The stock had previously closed at $14.61, but opened at $14.13. Rivian Automotive shares last traded at $13.63, with a volume of 21,555,800 shares trading hands.

Analyst Ratings Changes

Several equities research analysts have recently weighed in on the company. UBS Group reduced their price target on Rivian Automotive from $13.00 to $12.00 and set a "neutral" rating on the stock in a report on Wednesday, August 6th. Wedbush reduced their price target on Rivian Automotive from $18.00 to $16.00 and set an "outperform" rating on the stock in a report on Wednesday, August 6th. Mizuho increased their price target on Rivian Automotive from $12.00 to $14.00 and gave the stock a "neutral" rating in a report on Tuesday, September 23rd. JPMorgan Chase & Co. reduced their price target on Rivian Automotive from $10.00 to $9.00 and set an "underweight" rating on the stock in a report on Wednesday, August 6th. Finally, The Goldman Sachs Group increased their price target on Rivian Automotive from $12.00 to $15.00 and gave the stock a "neutral" rating in a report on Monday. Five equities research analysts have rated the stock with a Buy rating, sixteen have issued a Hold rating and three have assigned a Sell rating to the stock. According to data from MarketBeat, Rivian Automotive currently has an average rating of "Hold" and an average price target of $13.85.

Rivian Automotive Trading Down 8.8%

The firm has a market cap of $16.18 billion, a price-to-earnings ratio of -4.15 and a beta of 1.82. The company has a fifty day moving average price of $13.50 and a 200-day moving average price of $13.34. The company has a current ratio of 3.44, a quick ratio of 2.72 and a debt-to-equity ratio of 0.73.

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

Insider Transactions at Rivian Automotive

In other Rivian Automotive news, CFO Claire Mcdonough sold 7,247 shares of the stock in a transaction that occurred on Monday, August 18th. The stock was sold at an average price of $12.28, for a total transaction of $88,993.16. Following the completion of the transaction, the chief financial officer owned 789,445 shares of the company's stock, valued at $9,694,384.60. This represents a 0.91% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, CEO Robert J. Scaringe sold 17,450 shares of the stock in a transaction that occurred on Tuesday, September 16th. The shares were sold at an average price of $14.00, for a total value of $244,300.00. Following the transaction, the chief executive officer directly owned 1,316,205 shares of the company's stock, valued at $18,426,870. The trade was a 1.31% decrease in their position. The disclosure for this sale can be found here. Insiders sold a total of 42,147 shares of company stock valued at $577,593 in the last ninety days. 2.16% of the stock is currently owned by insiders.

Hedge Funds Weigh In On Rivian Automotive

Hedge funds have recently made changes to their positions in the company. Larson Financial Group LLC lifted its holdings in Rivian Automotive by 7.4% in the first quarter. Larson Financial Group LLC now owns 10,504 shares of the electric vehicle automaker's stock valued at $131,000 after buying an additional 722 shares during the period. Brown Advisory Inc. lifted its holdings in Rivian Automotive by 2.4% in the first quarter. Brown Advisory Inc. now owns 32,526 shares of the electric vehicle automaker's stock valued at $405,000 after buying an additional 772 shares during the period. First National Trust Co increased its stake in Rivian Automotive by 5.3% in the first quarter. First National Trust Co now owns 16,000 shares of the electric vehicle automaker's stock valued at $199,000 after purchasing an additional 800 shares in the last quarter. Assenagon Asset Management S.A. increased its stake in Rivian Automotive by 1.5% in the first quarter. Assenagon Asset Management S.A. now owns 60,252 shares of the electric vehicle automaker's stock valued at $750,000 after purchasing an additional 867 shares in the last quarter. Finally, TD Asset Management Inc increased its stake in Rivian Automotive by 1.2% in the second quarter. TD Asset Management Inc now owns 75,841 shares of the electric vehicle automaker's stock valued at $1,042,000 after purchasing an additional 870 shares in the last quarter. Institutional investors and hedge funds own 66.25% of the company's stock.

Rivian Automotive Company Profile

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest and most accurate reporting. This story was reviewed by MarketBeat's editorial team prior to publication. Please send any questions or comments about this story to contact@marketbeat.com.