Rivian Automotive (NASDAQ:RIVN) Trading Up 6.6% - Should You Buy?

Key Points

• Rivian Automotive's shares rose by 6.6% to $14.50 during trading, with a total of 31.79 million shares changing hands, though this was a 9% decline from the average trading volume.
• Analysts have adjusted their price targets for Rivian, with most recent targets ranging from $12.00 to $21.00, showcasing mixed ratings that include five "Buy," sixteen "Hold," and three "Sell" ratings.
• Rivian reported a quarterly loss of ($0.97) per share, falling short of estimates despite revenue of $1.30 billion, which exceeded expectations of $1.27 billion.

Rivian Automotive, Inc. (NASDAQ:RIVN - Get Free Report) shares traded up 6.6% during mid-day trading on Tuesday . The stock traded as high as $14.53 and last traded at $14.50. 31,790,039 shares were traded during trading, a decline of 9% from the average session volume of 35,071,004 shares. The stock had previously closed at $13.60.

Analysts Set New Price Targets

A number of brokerages have recently weighed in on RIVN. Piper Sandler lifted their price objective on Rivian Automotive from $13.00 to $15.00 and gave the stock a "neutral" rating in a research report on Thursday, May 22nd. Needham & Company LLC restated a "buy" rating and issued a $14.00 price target on shares of Rivian Automotive in a research note on Monday, August 25th. Stifel Nicolaus cut their price objective on Rivian Automotive from $18.00 to $16.00 and set a "buy" rating for the company in a report on Friday, August 8th. Canaccord Genuity Group cut their price target on Rivian Automotive from $23.00 to $21.00 and set a "buy" rating for the company in a report on Wednesday, August 6th. Finally, JPMorgan Chase & Co. dropped their price objective on Rivian Automotive from $10.00 to $9.00 and set an "underweight" rating for the company in a research note on Wednesday, August 6th. Five analysts have rated the stock with a Buy rating, sixteen have issued a Hold rating and three have issued a Sell rating to the stock. According to MarketBeat.com, the stock presently has an average rating of "Hold" and a consensus target price of $13.67.

Rivian Automotive Stock Down 2.0%

The company has a debt-to-equity ratio of 0.73, a current ratio of 3.44 and a quick ratio of 2.72. The stock has a 50 day moving average of $13.17 and a 200-day moving average of $13.10.

Rivian Automotive (NASDAQ:RIVN - Get Free Report) last released its quarterly earnings data 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). The company had revenue of $1.30 billion for the quarter, compared to analysts' expectations 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% on a year-over-year basis. During the same quarter in the previous year, the business posted ($1.46) EPS. Analysts forecast that Rivian Automotive, Inc. will post -3.2 EPS for the current fiscal year.

Insider Activity at Rivian Automotive

In other Rivian Automotive news, CFO Claire Mcdonough sold 7,247 shares of the company's stock in a transaction 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 transaction, the chief financial officer directly owned 789,445 shares in the company, valued at $9,694,384.60. This represents a 0.91% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. Also, CEO Robert J. Scaringe sold 17,450 shares of the company's stock in a transaction on Tuesday, September 16th. The stock was sold at an average price of $14.00, for a total value of $244,300.00. Following the sale, the chief executive officer directly owned 1,316,205 shares in the company, valued at $18,426,870. This represents a 1.31% decrease in their position. The disclosure for this sale can be found here. Over the last 90 days, insiders have sold 42,147 shares of company stock worth $577,593. Insiders own 2.16% of the company's stock.

Hedge Funds Weigh In On Rivian Automotive

Large investors have recently bought and sold shares of the stock. Teacher Retirement System of Texas acquired a new stake in shares of Rivian Automotive during the first quarter worth about $1,382,000. Caisse Des Depots ET Consignations purchased a new position in shares of Rivian Automotive during the 1st quarter worth approximately $2,807,000. Ethos Financial Group LLC purchased a new position in shares of Rivian Automotive during the 1st quarter worth approximately $311,000. Intech Investment Management LLC grew its stake in Rivian Automotive by 522.0% in the 1st quarter. Intech Investment Management LLC now owns 350,965 shares of the electric vehicle automaker's stock worth $4,370,000 after acquiring an additional 294,539 shares during the period. Finally, Mmbg Investment Advisors CO. purchased a new stake in Rivian Automotive in the 1st quarter worth approximately $274,000. 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.