Rivian Automotive (NASDAQ:RIVN) Trading Down 2% on Insider Selling

Key Points

• Rivian Automotive's stock dropped 2% after CEO Robert J. Scaringe sold 17,450 shares, decreasing his ownership by 1.31% to approximately 1.3 million shares.
• Analysts' ratings for Rivian show a consensus of "Hold" with a target price of $13.67, driven by recent downgrades from several firms.
• The company's quarterly earnings report indicated a larger loss than expected, with a net margin of -68.06% and negative return on equity.

Rivian Automotive, Inc. (NASDAQ:RIVN - Get Free Report) was down 2% during mid-day trading on Friday after an insider sold shares in the company. The company traded as low as $14.02 and last traded at $14.38. Approximately 68,502,717 shares changed hands during mid-day trading, an increase of 92% from the average daily volume of 35,602,465 shares. The stock had previously closed at $14.68.

Specifically, CEO Robert J. Scaringe sold 17,450 shares of Rivian Automotive stock in a transaction dated Tuesday, September 16th. The shares were sold at an average price of $14.00, for a total transaction of $244,300.00. Following the completion of the sale, the chief executive officer directly owned 1,316,205 shares in the company, valued at $18,426,870. The trade was a 1.31% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available through the SEC website.

Analysts Set New Price Targets

A number of research firms recently issued reports on RIVN. Canaccord Genuity Group lowered their target price on shares of Rivian Automotive from $23.00 to $21.00 and set a "buy" rating for the company in a report on Wednesday, August 6th. UBS Group lowered their target price on shares of Rivian Automotive from $13.00 to $12.00 and set a "neutral" rating for the company in a report on Wednesday, August 6th. Stifel Nicolaus lowered their target price on shares of Rivian Automotive from $18.00 to $16.00 and set a "buy" rating for the company in a report on Friday, August 8th. Morgan Stanley lowered their target price on shares of Rivian Automotive from $13.00 to $12.00 and set an "equal weight" rating for the company in a report on Wednesday, August 13th. Finally, Needham & Company LLC restated a "buy" rating and issued a $14.00 target price on shares of Rivian Automotive in a report on Monday, August 25th. Five analysts have rated the stock with a Buy rating, sixteen have given a Hold rating and three have assigned a Sell rating to the company's stock. Based on data from MarketBeat.com, the company currently has an average rating of "Hold" and an average price target of $13.67.

Rivian Automotive Stock Up 6.0%

The firm's 50 day simple moving average is $13.22 and its 200-day simple moving average is $13.15. The company has a debt-to-equity ratio of 0.73, a quick ratio of 2.72 and a current ratio of 3.44.

Rivian Automotive (NASDAQ:RIVN - Get Free Report) last posted its earnings results on Tuesday, August 5th. The electric vehicle automaker reported ($0.97) EPS 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 firm had revenue of $1.30 billion for the quarter, compared to analyst estimates of $1.27 billion. During the same period in the previous year, the firm posted ($1.46) earnings per share. The company's revenue for the quarter was up 12.5% on a year-over-year basis. On average, research analysts predict that Rivian Automotive, Inc. will post -3.2 earnings per share for the current fiscal year.

Institutional Trading of Rivian Automotive

Several institutional investors have recently added to or reduced their stakes in RIVN. PFS Partners LLC raised its holdings in Rivian Automotive by 1,882.0% in the first quarter. PFS Partners LLC now owns 1,982 shares of the electric vehicle automaker's stock valued at $25,000 after acquiring an additional 1,882 shares in the last quarter. Assetmark Inc. raised its holdings in Rivian Automotive by 315.6% in the second quarter. Assetmark Inc. now owns 1,787 shares of the electric vehicle automaker's stock valued at $25,000 after acquiring an additional 1,357 shares in the last quarter. Banque Transatlantique SA raised its holdings in Rivian Automotive by 13,194.1% in the first quarter. Banque Transatlantique SA now owns 2,260 shares of the electric vehicle automaker's stock valued at $26,000 after acquiring an additional 2,243 shares in the last quarter. Newbridge Financial Services Group Inc. raised its holdings in Rivian Automotive by 113.6% in the second quarter. Newbridge Financial Services Group Inc. now owns 1,880 shares of the electric vehicle automaker's stock valued at $26,000 after acquiring an additional 1,000 shares in the last quarter. Finally, Fairman Group LLC acquired a new stake in Rivian Automotive in the second quarter valued at $31,000. 66.25% of the stock is owned by institutional investors and hedge funds.

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.