Rivian Automotive (NASDAQ:RIVN) Stock Price Up 1% on Analyst Upgrade

Key Points

• Rivian stock rose 1% after BNP Paribas Exane raised its price target from $22 to $24 and kept an Outperform rating. Shares traded as high as $16.79 on heavy volume, well above the average daily volume.
• Analysts remain mixed overall: Rivian now has an average Hold rating and a consensus price target of $18.76, despite several recent positive or unchanged ratings from firms like Jefferies, TD Cowen, and Canaccord.
• Investor concerns persist around dilution and cash burn, especially after Rivian’s 75 million-share offering. The company also reported insider sales, including by CEO Robert J. Scaringe and CFO Claire McDonough, over recent months.

Rivian Automotive, Inc. (NASDAQ:RIVN - Get Free Report)'s share price was up 1% during mid-day trading on Wednesday after BNP Paribas Exane raised their price target on the stock from $22.00 to $24.00. BNP Paribas Exane currently has an outperform rating on the stock. Rivian Automotive traded as high as $16.79 and last traded at $16.66. 110,659,143 shares changed hands during trading, an increase of 250% from the average daily volume of 31,640,248 shares. The stock had previously closed at $16.49.

RIVN has been the topic of several other reports. Cantor Fitzgerald reissued a "neutral" rating on shares of Rivian Automotive in a research report on Monday, June 15th. Jefferies Financial Group upped their price target on shares of Rivian Automotive from $16.00 to $17.00 and gave the company a "hold" rating in a research note on Tuesday. Canaccord Genuity Group reissued a "buy" rating and issued a $22.00 price target on shares of Rivian Automotive in a report on Monday, April 6th. DA Davidson raised their price objective on shares of Rivian Automotive from $14.00 to $15.00 and gave the stock a "neutral" rating in a research report on Monday, May 11th. Finally, TD Cowen restated a "buy" rating and set a $20.00 price objective on shares of Rivian Automotive in a report on Wednesday, June 3rd. Twelve equities research analysts have rated the stock with a Buy rating, nine have assigned a Hold rating and six have issued a Sell rating to the company's stock. Based on data from MarketBeat, the stock presently has an average rating of "Hold" and an average price target of $18.76.

Insider Activity

In other Rivian Automotive news, CEO Robert J. Scaringe sold 34,818 shares of the business's stock in a transaction dated 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 sale, the chief executive officer owned 922,286 shares of the company's stock, valued at $13,834,290. The trade was a 3.64% decrease in their position. The transaction was disclosed in a document filed with the SEC, 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 10,245 shares of the stock in a transaction that occurred on Wednesday, April 22nd. The stock was sold at an average price of $18.00, for a total transaction of $184,410.00. Following the transaction, the chief financial officer owned 946,814 shares in the company, valued at approximately $17,042,652. The trade was a 1.07% decrease in their position. 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 sold 80,076 shares of company stock worth $1,256,286 over the last 90 days. 1.48% of the stock is currently owned by corporate insiders.

Rivian Automotive News Roundup

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

• Positive Sentiment: Rivian recently reported better-than-expected second-quarter deliveries and raised full-year delivery guidance, suggesting operating momentum remains intact.
• Positive Sentiment: BNP Paribas Exane raised its price target on Rivian to $24 from $22 and kept an Outperform rating, indicating some analysts still see meaningful upside.
• Neutral Sentiment: Rivian also pre-announced Q2 revenue of $1.55 billion to $1.65 billion, above Wall Street estimates, which helps offset some concern about the company’s near-term execution.
• Negative Sentiment: The new 75 million-share offering is the main reason the stock is falling, as investors worry about dilution and the impact on per-share value. Article Title
• Negative Sentiment: Market commentary continues to emphasize Rivian’s cash burn and the need for repeated capital raises to fund growth, which is keeping pressure on the shares.

Institutional Investors Weigh In On Rivian Automotive

A number of large investors have recently added to or reduced their stakes in RIVN. Assenagon Asset Management S.A. raised 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 valued at $985,000 after acquiring an additional 1,134 shares in the last quarter. Western Wealth Management LLC acquired a new stake in shares of Rivian Automotive during the 1st quarter worth $179,000. Rathbones Group PLC bought a new position in shares of Rivian Automotive in the first quarter worth $237,000. Parallel Advisors LLC increased its position in shares of Rivian Automotive by 4.0% in the first quarter. Parallel Advisors LLC now owns 16,056 shares of the electric vehicle automaker's stock worth $242,000 after purchasing an additional 613 shares during the period. Finally, Edgestream Partners L.P. raised its stake in Rivian Automotive by 47.9% in the first quarter. Edgestream Partners L.P. now owns 394,487 shares of the electric vehicle automaker's stock valued at $5,937,000 after purchasing an additional 127,788 shares in the last quarter. Institutional investors and hedge funds own 66.25% of the company's stock.

Rivian Automotive Stock Performance

The stock has a 50 day moving average of $15.71 and a 200 day moving average of $16.29. The company has a quick ratio of 1.64, a current ratio of 2.10 and a debt-to-equity ratio of 1.00. The firm has a market cap of $20.67 billion, a price-to-earnings ratio of -5.71 and a beta of 1.60.

Rivian Automotive (NASDAQ:RIVN - Get Free Report) last released its earnings results on Thursday, April 30th. The electric vehicle automaker reported ($0.55) EPS for the quarter, beating the consensus estimate of ($0.60) by $0.05. The firm had revenue of $1.38 billion for the quarter, compared to analyst estimates of $1.37 billion. Rivian Automotive had a negative net margin of 63.62% and a negative return on equity of 75.65%. The business's quarterly revenue was up 11.4% compared to the same quarter last year. During the same period last year, the firm earned ($0.48) EPS. As a group, analysts anticipate that Rivian Automotive, Inc. will post -3.1 EPS for the current fiscal year.

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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