Stock Traders Purchase Large Volume of Rivian Automotive Call Options (NASDAQ:RIVN)

Key Points

• Rivian Automotive experienced a significant spike in options trading, with 221,887 call options purchased, representing a 67% increase compared to its average volume.
• Insider sales included CEO Robert J. Scaringe, who sold 17,450 shares, and CFO Claire Mcdonough, who sold 7,247 shares, indicating a total of 42,147 shares sold by insiders over the past 90 days.
• The company's stock rose 6% to $15.24 on Monday, with a market capitalization of approximately $18.50 billion and reported a negative earnings per share of ($0.97) for the last quarter.

Rivian Automotive, Inc. (NASDAQ:RIVN - Get Free Report) saw some unusual options trading on Monday. Traders bought 221,887 call options on the stock. This represents an increase of approximately 67% compared to the typical volume of 132,587 call options.

Insider Activity

In other news, CEO Robert J. Scaringe sold 17,450 shares of Rivian Automotive stock in a transaction dated Tuesday, September 16th. The stock was sold at an average price of $14.00, for a total value of $244,300.00. Following the transaction, the chief executive officer directly owned 1,316,205 shares of the company's stock, valued at $18,426,870. The trade was a 1.31% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available at this link. Also, CFO Claire Mcdonough sold 7,247 shares of Rivian Automotive stock in a transaction that occurred on Monday, August 18th. The stock was sold at an average price of $12.28, for a total value of $88,993.16. Following the sale, the chief financial officer 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 disclosure for this sale can be found here. Insiders sold a total of 42,147 shares of company stock worth $577,593 over the last ninety days. Corporate insiders own 2.16% of the company's stock.

Institutional Investors Weigh In On Rivian Automotive

Institutional investors have recently made changes to their positions in the stock. Larson Financial Group LLC lifted its holdings in Rivian Automotive by 7.4% during the first quarter. Larson Financial Group LLC now owns 10,504 shares of the electric vehicle automaker's stock worth $131,000 after acquiring an additional 722 shares in the last quarter. Brown Advisory Inc. lifted its holdings in Rivian Automotive by 2.4% during the first quarter. Brown Advisory Inc. now owns 32,526 shares of the electric vehicle automaker's stock worth $405,000 after acquiring an additional 772 shares in the last quarter. First National Trust Co lifted its holdings in Rivian Automotive by 5.3% during the first quarter. First National Trust Co now owns 16,000 shares of the electric vehicle automaker's stock worth $199,000 after acquiring an additional 800 shares in the last quarter. Assenagon Asset Management S.A. lifted its holdings in Rivian Automotive by 1.5% during the first quarter. Assenagon Asset Management S.A. now owns 60,252 shares of the electric vehicle automaker's stock worth $750,000 after acquiring an additional 867 shares in the last quarter. Finally, TD Asset Management Inc lifted its holdings in shares of Rivian Automotive by 1.2% in the second quarter. TD Asset Management Inc now owns 75,841 shares of the electric vehicle automaker's stock valued at $1,042,000 after purchasing an additional 870 shares in the last quarter. 66.25% of the stock is owned by institutional investors and hedge funds.

Analyst Ratings Changes

Several equities research analysts have recently commented on RIVN shares. Stifel Nicolaus reduced their target price on Rivian Automotive from $18.00 to $16.00 and set a "buy" rating for the company in a report on Friday, August 8th. Wall Street Zen lowered Rivian Automotive from a "hold" rating to a "sell" rating in a research report on Saturday, July 26th. Wedbush decreased their price target on Rivian Automotive from $18.00 to $16.00 and set an "outperform" rating for the company in a research note on Wednesday, August 6th. Morgan Stanley decreased their target price on Rivian Automotive from $13.00 to $12.00 and set an "equal weight" rating for the company in a research note on Wednesday, August 13th. Finally, Mizuho raised their price objective on Rivian Automotive from $12.00 to $14.00 and gave the stock a "neutral" rating in a research report on Tuesday. Five investment analysts have rated the stock with a Buy rating, sixteen have given a Hold rating and three have given a Sell rating to the stock. According to MarketBeat.com, Rivian Automotive has a consensus rating of "Hold" and an average price target of $13.72.

Rivian Automotive Trading Up 1.5%

Shares of NASDAQ RIVN traded up $0.24 during midday trading on Tuesday, hitting $15.48. The stock had a trading volume of 13,315,248 shares, compared to its average volume of 35,677,234. The company's 50-day simple moving average is $13.22 and its 200 day simple moving average is $13.15. The firm has a market cap of $18.78 billion, a P/E ratio of -4.78 and a beta of 1.81. Rivian Automotive has a fifty-two week low of $9.50 and a fifty-two week high of $17.15. The company has a debt-to-equity ratio of 0.73, a current ratio of 3.44 and a quick ratio of 2.72.

Rivian Automotive (NASDAQ:RIVN - Get Free Report) last released its earnings results on Tuesday, August 5th. The electric vehicle automaker reported ($0.97) EPS for the quarter, missing the consensus estimate of ($0.65) by ($0.32). The firm had revenue of $1.30 billion during the quarter, compared to analyst estimates of $1.27 billion. Rivian Automotive had a negative net margin of 68.06% and a negative return on equity of 58.07%. The firm's quarterly revenue was up 12.5% on a year-over-year basis. During the same period last year, the business posted ($1.46) earnings per share. Research analysts anticipate that Rivian Automotive will post -3.2 EPS for the current year.

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.