Rivian Automotive (NASDAQ:RIVN) Trading Down 9.6% – Here’s What Happened

Rivian Automotive, Inc. (NASDAQ:RIVN) shares were down 9.6% on Friday . The stock traded as low as $15.15 and last traded at $15.22. 54,104,938 shares were traded during mid-day trading, an increase of 71% from the average session volume of 31,696,482 shares. The stock had previously closed at $16.83.

Trending Headlines about Rivian Automotive

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–$0.66 loss. Rivian beats quarterly revenue estimates as R2 launch, software business gain traction
• Positive Sentiment: The company began customer deliveries of its lower-priced R2 SUV, said demand and conversion rates are exceeding internal expectations, and maintained its 65,000-to-70,000-vehicle delivery target while raising aspects of its full-year outlook. Management views R2 as important to future volume and profitability.
• Positive Sentiment: Rivian reduced its 2026 spending plans, narrowed its expected annual loss, and highlighted growth in its software business, including benefits from its Volkswagen partnership. Rivian reduces 2026 spending plans, narrows earnings guidance
• Positive Sentiment: Needham reaffirmed a Buy rating with a $23 price target, while TD Cowen raised its target to $21 and kept a Buy rating. Elevated call-option activity also suggests increased speculative interest.
• Neutral Sentiment: Analyst opinion remains divided. Royal Bank of Canada raised its target to $16 with a Sector Perform rating, Wells Fargo lifted its target to $16 with Equal Weight, and Morgan Stanley raised its target to $14 while retaining an Underweight rating.
• Negative Sentiment: The earnings beat did not resolve concerns about automotive margins, cash usage, and Rivian’s continuing large losses. The company remains unprofitable, and management acknowledged that Chinese EV manufacturers have significant cost and capital advantages.
• Negative Sentiment: Investors appear to be taking profits or reassessing valuation after the results, with broader EV-sector weakness adding pressure. The market is likely demanding evidence that the R2 ramp can translate into sustainable margins rather than merely higher deliveries.

Analyst Ratings Changes

RIVN has been the topic of several research reports. Piper Sandler raised shares of Rivian Automotive from a “neutral” rating to an “overweight” rating and boosted their price target for the company from $18.00 to $20.00 in a research report on Monday, July 27th. TD Cowen raised their price objective on shares of Rivian Automotive from $20.00 to $21.00 and gave the stock a “buy” rating in a report on Friday. UBS Group lifted their price objective on shares of Rivian Automotive from $16.00 to $17.00 and gave the company a “neutral” rating in a research note on Thursday, July 9th. Cantor Fitzgerald reissued a “neutral” rating and set a $19.00 target price on shares of Rivian Automotive in a report on Tuesday, July 28th. Finally, Wall Street Zen upgraded Rivian Automotive from a “sell” rating to a “hold” rating in a research report on Saturday. Thirteen research analysts have rated the stock with a Buy rating, eight have assigned a Hold rating and six have given a Sell rating to the company. According to data from MarketBeat, Rivian Automotive has an average rating of “Hold” and an average target price of $18.95.

Rivian Automotive Stock Performance

The company has a 50-day moving average price of $16.58 and a two-hundred day moving average price of $15.89. The stock has a market capitalization of $20.72 billion, a P/E ratio of -5.90 and a beta of 1.60. The company has a quick ratio of 1.64, a current ratio of 2.10 and a debt-to-equity ratio of 1.00.

Rivian Automotive (NASDAQ:RIVN) last announced its quarterly earnings results 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 firm had revenue of $1.38 billion for the quarter, compared to the consensus estimate of $1.37 billion. Rivian Automotive had a negative net margin of 54.96% and a negative return on equity of 75.57%. The company’s revenue for the quarter was up 11.4% on a year-over-year basis. During the same period in the prior year, the firm posted ($0.48) earnings per share. Equities analysts expect that Rivian Automotive, Inc. will post -3.06 earnings per share for the current year.

Insider Buying and Selling

In other Rivian Automotive news, CEO Robert J. Scaringe sold 34,818 shares of the stock in a transaction that occurred on Thursday, May 28th. The shares were sold at an average price of $15.00, for a total value of $522,270.00. Following the sale, the chief executive officer directly owned 922,286 shares in the company, valued at $13,834,290. This represents a 3.64% decrease in their position. The transaction was disclosed in a document filed 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 the stock in a transaction that occurred 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 completion of the sale, the chief financial officer owned 887,007 shares in the company, valued at $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. In the last 90 days, insiders have sold 68,385 shares of company stock valued at $1,125,094. Company insiders own 1.48% of the company’s stock.

Institutional Investors Weigh In On Rivian Automotive

A number of institutional investors and hedge funds have recently made changes to their positions in RIVN. Capital International Investors grew its position in Rivian Automotive by 13.2% during the fourth quarter. Capital International Investors now owns 20,769,844 shares of the electric vehicle automaker’s stock worth $409,374,000 after buying an additional 2,418,717 shares in the last quarter. Renaissance Technologies LLC increased its stake in Rivian Automotive by 32.4% in the 4th quarter. Renaissance Technologies LLC now owns 16,397,496 shares of the electric vehicle automaker’s stock worth $323,195,000 after acquiring an additional 4,012,386 shares during the last quarter. Geode Capital Management LLC raised its holdings in shares of Rivian Automotive by 0.4% in the 4th quarter. Geode Capital Management LLC now owns 14,782,865 shares of the electric vehicle automaker’s stock valued at $290,568,000 after acquiring an additional 59,503 shares in the last quarter. Norges Bank purchased a new stake in shares of Rivian Automotive in the 4th quarter valued at about $220,323,000. Finally, Soma Equity Partners LP boosted its position in shares of Rivian Automotive by 9.9% during the 3rd quarter. Soma Equity Partners LP now owns 9,204,745 shares of the electric vehicle automaker’s stock valued at $135,126,000 after acquiring an additional 829,782 shares during the last quarter. Hedge funds and other institutional investors own 66.25% of the company’s 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.