Rivian Automotive (NASDAQ:RIVN) Shares Down 5.5% – Should You Sell?

Shares of Rivian Automotive, Inc. (NASDAQ:RIVN) were down 5.5% during mid-day trading on Thursday. The stock traded as low as $12.76 and last traded at $13.29. Approximately 44,404,011 shares were traded during mid-day trading, an increase of 50% from the average daily volume of 29,541,297 shares. The stock had previously closed at $14.06.

Analysts Set New Price Targets

RIVN has been the subject of a number of research reports. Wells Fargo & Company boosted their target price on shares of Rivian Automotive from $15.00 to $16.00 and gave the company an “equal weight” rating in a research note on Friday, July 31st. Citigroup initiated coverage on Rivian Automotive in a research note on Monday, September 14th. They issued a “hold” rating and a $18.00 price target on the stock. TD Cowen lifted their price objective on Rivian Automotive from $20.00 to $21.00 and gave the stock a “buy” rating in a report on Friday, July 31st. Stifel Nicolaus set a $22.00 price objective on Rivian Automotive in a research report on Monday, August 24th. Finally, Wall Street Zen downgraded Rivian Automotive from a “hold” rating to a “sell” rating in a report on Saturday, October 31st. Fifteen equities research analysts have rated the stock with a Buy rating, seven have given a Hold rating and five have given a Sell rating to the stock. Based on data from MarketBeat, Rivian Automotive presently has a consensus rating of “Hold” and an average target price of $19.50.

Rivian Automotive Stock Down 5.5%

The company has a debt-to-equity ratio of 0.78, a current ratio of 2.18 and a quick ratio of 1.70. The firm has a market capitalization of $19.24 billion, a P/E ratio of -5.91 and a beta of 1.64. The company’s 50-day simple moving average is $14.33 and its two-hundred day simple moving average is $15.43.

Rivian Automotive (NASDAQ:RIVN) last issued its quarterly earnings results on Thursday, October 29th. The electric vehicle automaker reported ($0.48) earnings per share for the quarter, topping the consensus estimate of ($0.64) by $0.16. Rivian Automotive had a negative net margin of 45.88% and a negative return on equity of 69.68%. The business had revenue of $2.15 billion for the quarter, compared to analysts’ expectations of $2 billion. During the same quarter last year, the company posted ($1.08) EPS. The company’s revenue was up 38.3% compared to the same quarter last year. As a group, research analysts expect that Rivian Automotive, Inc. will post -2.89 earnings per share for the current year.

Insider Buying and Selling at Rivian Automotive

In other Rivian Automotive news, insider Michael John Callahan sold 15,000 shares of the business’s stock in a transaction dated Thursday, October 1st. The stock was sold at an average price of $15.00, for a total transaction of $225,000.00. Following the completion of the sale, the insider owned 1,001,776 shares of the company’s stock, valued at approximately $15,026,640. The trade was a 1.48% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO Claire McDonough sold 13,144 shares of the company’s stock in a transaction dated Tuesday, August 18th. The stock was sold at an average price of $14.50, for a total value of $190,588.00. Following the completion of the sale, the chief financial officer owned 827,201 shares of the company’s stock, valued at approximately $11,994,414.50. The trade was a 1.56% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders have sold 51,167 shares of company stock worth $788,306 over the last quarter. 1.48% of the stock is owned by company insiders.

Institutional Inflows and Outflows

A number of large investors have recently made changes to their positions in RIVN. Dimensional Fund Advisors LP boosted its holdings in shares of Rivian Automotive by 0.3% during the 1st quarter. Dimensional Fund Advisors LP now owns 7,438,776 shares of the electric vehicle automaker’s stock valued at $111,896,000 after purchasing an additional 25,382 shares during the last quarter. Hsbc Holdings PLC increased its holdings in shares of Rivian Automotive by 55.8% in the first quarter. Hsbc Holdings PLC now owns 3,097,836 shares of the electric vehicle automaker’s stock worth $46,625,000 after purchasing an additional 1,109,171 shares during the last quarter. Bank of New York Mellon Corp bought a new stake in shares of Rivian Automotive in the second quarter worth about $49,915,000. Swiss National Bank lifted its position in shares of Rivian Automotive by 8.2% in the first quarter. Swiss National Bank now owns 2,331,000 shares of the electric vehicle automaker’s stock worth $35,082,000 after buying an additional 176,500 shares in the last quarter. Finally, Sumitomo Mitsui Trust Group Inc. lifted its position in shares of Rivian Automotive by 22.1% in the third quarter. Sumitomo Mitsui Trust Group Inc. now owns 1,970,637 shares of the electric vehicle automaker’s stock worth $29,441,000 after buying an additional 356,540 shares in the last quarter. 66.25% of the stock is owned by hedge funds and other institutional investors.

About Rivian Automotive

Rivian Automotive, Inc is an electric vehicle manufacturer that designs, develops and produces all-electric trucks, sport utility vehicles and commercial delivery vans. The company focuses on vehicles intended for outdoor recreation, everyday transportation and fleet use, combining battery-electric powertrains with software and connected-vehicle technologies.

Rivian’s consumer vehicle lineup includes the R1T pickup truck and R1S sport utility vehicle. The company also develops electric commercial vans for business and delivery fleets, including vehicles produced through its relationship with Amazon.