Rivian Automotive (NASDAQ:RIVN) Shares Up 1.3% - Time to Buy?

Key Points

• Rivian shares rose 1.3% to $16.69 amid improving investor sentiment, supported by Piper Sandler’s upgrade to Overweight and a $20 price target. The company also exceeded production and delivery expectations and raised its delivery guidance.
• Analyst views remain mixed: Rivian has 13 Buy, 7 Hold and 6 Sell ratings, resulting in an overall “Hold” consensus and an average price target of $18.95.
• Despite revenue growth and a recent earnings beat, Rivian remains unprofitable, with a negative 63.62% net margin and analysts expecting a loss of $3.06 per share for the current fiscal year. Insiders have also sold approximately $1.13 million of stock over the past 90 days.

Shares of Rivian Automotive, Inc. (NASDAQ:RIVN - Get Free Report) rose 1.3% during trading on Tuesday . The company traded as high as $16.72 and last traded at $16.69. Approximately 15,800,064 shares changed hands during trading, a decline of 50% from the average daily volume of 31,677,977 shares. The stock had previously closed at $16.48.

Rivian Automotive News Summary

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

• Positive Sentiment: Piper Sandler upgraded Rivian to Overweight from Neutral and raised its price target from $18 to $20, citing improving demand, a potentially smoother R2 launch and a stronger balance sheet. The firm’s favorable view versus Stellantis provided the primary catalyst for the recent move higher. Why Is Rivian Stock Soaring Today
• Positive Sentiment: Rivian has reportedly exceeded expectations for production and deliveries and raised its delivery guidance, supporting the case that demand is holding up better than feared. Stronger execution could improve investor confidence ahead of the earnings release. Rivian Raises Delivery Guidance
• Positive Sentiment: Rivian could benefit from sales traction for its new SUV, while a favorable ruling or settlement on its request for tariff reimbursements plus interest would provide a potential cash benefit. Rivian Seeks Tariff Reimbursement

Analysts Set New Price Targets

RIVN has been the subject of several research reports. TD Cowen reiterated a "buy" rating and issued a $20.00 price target on shares of Rivian Automotive in a research note on Wednesday, June 3rd. Canaccord Genuity Group reissued a "buy" rating and set a $22.00 price objective on shares of Rivian Automotive in a research note on Monday, April 6th. Morgan Stanley upped their price objective on shares of Rivian Automotive from $12.00 to $13.00 and gave the stock an "underweight" rating in a report on Tuesday, July 14th. Cantor Fitzgerald reiterated a "neutral" rating and set a $19.00 target price on shares of Rivian Automotive in a report on Tuesday. Finally, BNP Paribas Exane lifted their target price on shares of Rivian Automotive from $22.00 to $24.00 and gave the company an "outperform" rating in a report on Wednesday, July 8th. Thirteen equities research analysts have rated the stock with a Buy rating, seven have given a Hold rating and six have issued a Sell rating to the company. Based on data from MarketBeat, the company currently has an average rating of "Hold" and an average target price of $18.95.

Rivian Automotive Trading Up 1.3%

The firm has a 50-day moving average price of $16.38 and a 200-day moving average price of $15.96. The company has a debt-to-equity ratio of 1.00, a quick ratio of 1.64 and a current ratio of 2.10. The stock has a market cap of $22.72 billion, a PE ratio of -5.72 and a beta of 1.60.

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

Insider Transactions at Rivian Automotive

In related news, CEO Robert J. Scaringe sold 34,818 shares of the business's stock in a transaction that occurred on Thursday, May 28th. The shares were sold at an average price of $15.00, for a total value of $522,270.00. Following the completion of the transaction, the chief executive officer directly owned 922,286 shares in the company, valued at $13,834,290. The trade was a 3.64% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO Claire Mcdonough sold 8,023 shares of the company's stock in a transaction that occurred on Friday, May 29th. The shares were 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 in the company, valued at $14,192,112. This trade represents a 0.90% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last 90 days, insiders have sold 68,385 shares of company stock worth $1,125,094. Corporate insiders own 1.48% of the company's stock.

Institutional Trading of Rivian Automotive

Institutional investors and hedge funds have recently modified their holdings of the business. Handelsbanken Fonder AB lifted its holdings in shares of Rivian Automotive by 2.1% during the second quarter. Handelsbanken Fonder AB now owns 270,800 shares of the electric vehicle automaker's stock valued at $4,698,000 after purchasing an additional 5,600 shares in the last quarter. Valeo Financial Advisors LLC increased its holdings in Rivian Automotive by 6.8% in the 2nd quarter. Valeo Financial Advisors LLC now owns 25,887 shares of the electric vehicle automaker's stock worth $449,000 after buying an additional 1,642 shares in the last quarter. Assenagon Asset Management S.A. increased its holdings in Rivian Automotive by 2.0% in the 2nd quarter. Assenagon Asset Management S.A. now owns 56,758 shares of the electric vehicle automaker's stock worth $985,000 after buying an additional 1,134 shares in the last quarter. Western Wealth Management LLC purchased a new position in Rivian Automotive in the 1st quarter worth about $179,000. Finally, Rathbones Group PLC purchased a new position in Rivian Automotive in the 1st quarter worth about $237,000. Institutional investors own 66.25% of the company's stock.

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.