Rivian Automotive (NASDAQ:RIVN) Trading 6.5% Higher - Time to Buy?

Key Points

• Rivian Automotive's stock rose by 6.5% during trading, reaching a high of $14.85, despite a significant drop in trading volume, which was 43% lower than its average.
• Equity analysts have mixed sentiments on Rivian, with recent downgrades from Morgan Stanley and Guggenheim, while Cantor Fitzgerald maintains a neutral rating with a target price of $15.00.
• The company reported a loss of ($0.97) EPS for the last quarter, missing estimates, although revenue was up 12.5% year-over-year at $1.30 billion.

Rivian Automotive, Inc. (NASDAQ:RIVN - Get Free Report) was up 6.5% during trading on Wednesday . The company traded as high as $14.85 and last traded at $14.77. Approximately 19,459,590 shares traded hands during trading, a decline of 43% from the average daily volume of 33,855,871 shares. The stock had previously closed at $13.87.

Analyst Upgrades and Downgrades

Several equities analysts recently issued reports on RIVN shares. Morgan Stanley reduced their price objective on shares of Rivian Automotive from $13.00 to $12.00 and set an "equal weight" rating on the stock in a research note on Wednesday, August 13th. Guggenheim cut shares of Rivian Automotive from a "buy" rating to a "neutral" rating in a research note on Monday, July 14th. Cantor Fitzgerald reissued a "neutral" rating and set a $15.00 target price on shares of Rivian Automotive in a research report on Wednesday, May 7th. Stifel Nicolaus reduced their price target on shares of Rivian Automotive from $18.00 to $16.00 and set a "buy" rating on the stock in a research report on Friday, August 8th. Finally, Wall Street Zen downgraded shares of Rivian Automotive from a "hold" rating to a "sell" rating in a research note on Saturday, July 26th. Five equities research analysts have rated the stock with a Buy rating, eighteen have assigned a Hold rating and three have issued a Sell rating to the company. Based on data from MarketBeat, the stock has an average rating of "Hold" and an average target price of $13.69.

Rivian Automotive Trading Up 6.8%

The company has a current ratio of 3.44, a quick ratio of 2.72 and a debt-to-equity ratio of 0.73. The firm has a 50-day moving average price of $12.98 and a 200-day moving average price of $12.96. The company has a market capitalization of $17.98 billion, a price-to-earnings ratio of -4.57 and a beta of 1.81.

Rivian Automotive (NASDAQ:RIVN - Get Free Report) last issued its quarterly earnings results on Tuesday, August 5th. The electric vehicle automaker reported ($0.97) earnings per share for the quarter, missing analysts' consensus estimates 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 company had revenue of $1.30 billion during the quarter, compared to analysts' expectations of $1.27 billion. During the same period in the prior year, the business posted ($1.46) EPS. The company's revenue for the quarter was up 12.5% compared to the same quarter last year. As a group, sell-side analysts predict that Rivian Automotive, Inc. will post -3.2 EPS for the current year.

Insider Buying and Selling at Rivian Automotive

In other Rivian Automotive news, CFO Claire Mcdonough sold 7,247 shares of Rivian Automotive stock in a transaction dated Monday, August 18th. The stock was sold at an average price of $12.28, for a total transaction of $88,993.16. Following the transaction, the chief financial officer owned 789,445 shares of the company's stock, valued at $9,694,384.60. The trade was a 0.91% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available through this hyperlink. Corporate insiders own 2.16% of the company's stock.

Hedge Funds Weigh In On Rivian Automotive

Several hedge funds and other institutional investors have recently added to or reduced their stakes in the business. Brighton Jones LLC boosted its position in Rivian Automotive by 28.0% during the fourth quarter. Brighton Jones LLC now owns 17,685 shares of the electric vehicle automaker's stock worth $235,000 after purchasing an additional 3,864 shares during the period. The Manufacturers Life Insurance Company lifted its position in Rivian Automotive by 4.6% during the 4th quarter. The Manufacturers Life Insurance Company now owns 80,207 shares of the electric vehicle automaker's stock worth $1,067,000 after acquiring an additional 3,556 shares during the last quarter. Triumph Capital Management boosted its holdings in Rivian Automotive by 55.8% during the fourth quarter. Triumph Capital Management now owns 57,684 shares of the electric vehicle automaker's stock valued at $767,000 after acquiring an additional 20,651 shares during the period. Mercer Global Advisors Inc. ADV grew its position in shares of Rivian Automotive by 8.5% in the fourth quarter. Mercer Global Advisors Inc. ADV now owns 65,710 shares of the electric vehicle automaker's stock valued at $874,000 after purchasing an additional 5,141 shares during the last quarter. Finally, Bayesian Capital Management LP acquired a new stake in shares of Rivian Automotive in the fourth quarter valued at about $892,000. Institutional investors 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.

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