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

Key Points

• Rivian saw unusually heavy call-option activity: Traders purchased 153,283 call options, about 18% above the stock’s average daily call volume.
• Company insiders sold 68,385 shares worth approximately $1.13 million over the past quarter, while institutional investors and hedge funds own 66.25% of Rivian’s stock.
• Analyst sentiment remains mixed, with a consensus “Hold” rating and an average price target of $19.10 versus Rivian’s recent trading price of $15.53. The company continues to report improving revenue and narrower losses, but weak margins, cash needs, and intense EV competition remain concerns.

Rivian Automotive, Inc. (NASDAQ:RIVN - Get Free Report) was the recipient of some unusual options trading activity on Friday. Traders acquired 153,283 call options on the stock. This represents an increase of approximately 18% compared to the average daily volume of 129,402 call options.

Insider Activity at Rivian Automotive

In other news, CEO Robert J. Scaringe sold 34,818 shares of the company's stock in a transaction dated Thursday, May 28th. The stock was 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 directly owned 922,286 shares of the company's stock, valued at $13,834,290. This represents a 3.64% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO Claire Mcdonough sold 8,023 shares of Rivian Automotive stock in a transaction on Friday, May 29th. The stock was sold at an average price of $16.00, for a total transaction of $128,368.00. Following the transaction, the chief financial officer directly owned 887,007 shares in the company, valued at approximately $14,192,112. This represents a 0.90% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold a total of 68,385 shares of company stock valued at $1,125,094 over the last quarter. Corporate insiders own 1.48% of the company's stock.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently added to or reduced their stakes in the company. Newbridge Financial Services Group Inc. grew its stake in shares of 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. Core Wealth Advisors LLC bought a new stake in Rivian Automotive in the 4th quarter valued at about $27,000. SOA Wealth Advisors LLC. grew its position in shares of Rivian Automotive by 894.2% during the 4th quarter. SOA Wealth Advisors LLC. now owns 1,551 shares of the electric vehicle automaker's stock worth $31,000 after purchasing an additional 1,395 shares in the last quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. acquired a new stake in shares of Rivian Automotive in the third quarter valued at approximately $31,000. Finally, Zions Bancorporation National Association UT bought a new stake in shares of Rivian Automotive in the fourth quarter valued at approximately $33,000. 66.25% of the stock is owned by institutional investors and hedge funds.

Analyst Upgrades and Downgrades

Several equities research analysts have issued reports on RIVN shares. Wall Street Zen upgraded Rivian Automotive from a "strong sell" rating to a "sell" rating in a report on Sunday, May 10th. Canaccord Genuity Group reissued a "buy" rating and issued a $22.00 price objective on shares of Rivian Automotive in a research report on Monday, April 6th. Jefferies Financial Group upped their target price on Rivian Automotive from $16.00 to $17.00 and gave the stock a "hold" rating in a report on Tuesday, July 7th. Tigress Financial reiterated a "buy" rating and set a $25.00 price objective on shares of Rivian Automotive in a research note on Friday, April 10th. Finally, Needham & Company LLC restated a "buy" rating and set a $23.00 target price on shares of Rivian Automotive in a report on Friday. Thirteen investment analysts have rated the stock with a Buy rating, seven have given a Hold rating and six have given a Sell rating to the stock. According to MarketBeat, the company presently has a consensus rating of "Hold" and an average target price of $19.10.

Rivian Automotive Stock Performance

Rivian Automotive stock traded down $1.30 during trading hours on Friday, hitting $15.53. The company had a trading volume of 40,766,025 shares, compared to its average volume of 31,621,617. The firm has a market cap of $21.13 billion, a PE ratio of -5.31 and a beta of 1.60. The company has a debt-to-equity ratio of 1.00, a current ratio of 2.10 and a quick ratio of 1.64. Rivian Automotive has a one year low of $11.57 and a one year high of $22.69. The firm has a 50-day moving average of $16.56 and a 200 day moving average of $15.89.

Rivian Automotive (NASDAQ:RIVN - Get Free Report) last issued its quarterly earnings data on Thursday, April 30th. The electric vehicle automaker reported ($0.55) earnings per share (EPS) for the quarter, topping analysts' consensus estimates of ($0.60) by $0.05. The company had revenue of $1.38 billion during the quarter, compared to analysts' expectations of $1.37 billion. Rivian Automotive had a negative return on equity of 75.65% and a negative net margin of 63.62%.The business's revenue was up 11.4% on a year-over-year basis. During the same quarter in the previous year, the company posted ($0.48) earnings per share. On average, sell-side analysts expect that Rivian Automotive will post -3.06 earnings per share for the current year.

Key Rivian Automotive News

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

• Positive Sentiment: Rivian reported second-quarter revenue of $1.66 billion, up 27.2% year over year and above the approximately $1.52 billion analyst estimate. Its adjusted loss of $0.47 per share was narrower than the expected $0.65 loss and substantially better than the year-ago loss. Rivian beats quarterly revenue estimates
• Positive Sentiment: The company began external deliveries of its lower-priced R2 SUV in June, said demand and customer conversion rates are exceeding internal expectations, and maintained its 65,000-to-70,000-vehicle delivery target while raising its full-year outlook. R2 is viewed as critical to expanding Rivian’s addressable market and improving its path to profitability. R2 ramp drives record growth
• Positive Sentiment: Rivian reduced its 2026 spending plans and reported gains in software revenue, supported in part by its Volkswagen partnership. Needham reaffirmed a Buy rating with a $23 price target, while TD Cowen raised its target to $21 and retained a Buy rating. Rivian reduces 2026 spending plans
• Neutral Sentiment: Analyst views remain divided: Wells Fargo raised its target to $16 with an Equal Weight rating, while Morgan Stanley lifted its target to $14 but maintained an Underweight rating, implying downside from recent levels. Analyst price-target changes
• Negative Sentiment: The earnings beat did not resolve concerns about weak automotive margins, ongoing substantial losses, cash needs, and intense competition. CEO RJ Scaringe acknowledged that Chinese EV makers benefit from a much lower capital-cost structure, underscoring the competitive pressure facing Rivian. What’s going on with Rivian stock

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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