Rivian Automotive (NASDAQ:RIVN) Shares Down 7.5% on Analyst Downgrade

Rivian Automotive, Inc. (NASDAQ:RIVN)’s stock price dropped 7.5% during trading on Monday after Guggenheim lowered their price target on the stock from $18.00 to $16.00. Guggenheim currently has a buy rating on the stock. Rivian Automotive traded as low as $11.71 and last traded at $12.00. Approximately 27,614,200 shares were traded during mid-day trading, a decline of 20% from the average daily volume of 34,353,898 shares. The stock had previously closed at $12.97.

RIVN has been the topic of a number of other reports. Wedbush restated an “outperform” rating and issued a $20.00 price target on shares of Rivian Automotive in a research note on Friday, November 8th. Robert W. Baird restated a “neutral” rating and set a $16.00 target price (down previously from $18.00) on shares of Rivian Automotive in a research note on Wednesday, December 18th. Truist Financial increased their price target on shares of Rivian Automotive from $12.00 to $14.00 and gave the company a “hold” rating in a research note on Thursday, January 16th. Barclays boosted their price objective on shares of Rivian Automotive from $13.00 to $14.00 and gave the stock an “equal weight” rating in a research report on Wednesday, January 22nd. Finally, Royal Bank of Canada dropped their target price on shares of Rivian Automotive from $14.00 to $12.00 and set a “sector perform” rating on the stock in a research report on Friday, November 8th. Three investment analysts have rated the stock with a sell rating, fourteen have assigned a hold rating and eight have given a buy rating to the company. According to data from MarketBeat, Rivian Automotive currently has a consensus rating of “Hold” and a consensus price target of $14.87.

Insider Activity at Rivian Automotive

In other Rivian Automotive news, CEO Robert J. Scaringe sold 71,429 shares of the stock in a transaction on Monday, January 6th. The stock was sold at an average price of $16.17, for a total value of $1,155,006.93. Following the completion of the transaction, the chief executive officer now owns 863,361 shares in the company, valued at approximately $13,960,547.37. This represents a 7.64 % decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, CFO Claire Mcdonough sold 6,856 shares of the business’s stock in a transaction on Wednesday, February 19th. The stock was sold at an average price of $14.26, for a total transaction of $97,766.56. Following the sale, the chief financial officer now owns 335,076 shares in the company, valued at $4,778,183.76. The trade was a 2.01 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold a total of 275,357 shares of company stock worth $3,988,140 over the last 90 days. Company insiders own 2.51% of the company’s stock.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently added to or reduced their stakes in the stock. Baillie Gifford & Co. grew its holdings in shares of Rivian Automotive by 52.5% in the 3rd quarter. Baillie Gifford & Co. now owns 50,357,579 shares of the electric vehicle automaker’s stock worth $565,012,000 after acquiring an additional 17,341,786 shares during the period. Capital International Investors acquired a new stake in Rivian Automotive in the fourth quarter valued at $144,030,000. Norges Bank purchased a new position in shares of Rivian Automotive in the fourth quarter valued at $123,308,000. Northern Trust Corp raised its stake in shares of Rivian Automotive by 68.5% during the 4th quarter. Northern Trust Corp now owns 7,238,696 shares of the electric vehicle automaker’s stock worth $96,275,000 after buying an additional 2,941,928 shares during the last quarter. Finally, Twinbeech Capital LP purchased a new stake in shares of Rivian Automotive in the 4th quarter worth about $29,944,000. 66.25% of the stock is currently owned by institutional investors and hedge funds.

Rivian Automotive Stock Performance

The company has a current ratio of 5.09, a quick ratio of 3.70 and a debt-to-equity ratio of 0.93. The stock’s 50 day moving average is $13.42 and its 200 day moving average is $12.47. The stock has a market capitalization of $11.69 billion, a price-to-earnings ratio of -2.43 and a beta of 2.04.

Rivian Automotive (NASDAQ:RIVN) last announced its earnings results on Thursday, February 20th. The electric vehicle automaker reported ($0.63) EPS for the quarter, beating analysts’ consensus estimates of ($0.69) by $0.06. Rivian Automotive had a negative return on equity of 66.26% and a negative net margin of 95.51%. The firm had revenue of $1.73 billion for the quarter, compared to analysts’ expectations of $1.43 billion. On average, analysts predict that Rivian Automotive, Inc. will post -3.2 earnings per share for the current year.

About Rivian Automotive

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.