Rivian Automotive (NASDAQ:RIVN) Trading Down 4% – Should You Sell?

Rivian Automotive, Inc. (NASDAQ:RIVN) was down 4% during mid-day trading on Friday . The company traded as low as $12.35 and last traded at $12.50. Approximately 16,157,142 shares were traded during mid-day trading, a decline of 56% from the average daily volume of 36,873,636 shares. The stock had previously closed at $13.02.

Wall Street Analyst Weigh In

Several research analysts have recently commented on RIVN shares. Bank of America lowered Rivian Automotive from a “neutral” rating to an “underperform” rating and lowered their price target for the stock from $13.00 to $10.00 in a research report on Monday, February 24th. Guggenheim lowered their target price on Rivian Automotive from $18.00 to $16.00 and set a “buy” rating for the company in a report on Monday, February 24th. Baird R W lowered shares of Rivian Automotive from a “strong-buy” rating to a “hold” rating in a research note on Wednesday, December 18th. Cowen assumed coverage on shares of Rivian Automotive in a research note on Thursday, March 6th. They issued a “hold” rating for the company. Finally, UBS Group upped their target price on shares of Rivian Automotive from $11.00 to $14.00 and gave the stock a “neutral” rating in a research note on Thursday, January 16th. Three research analysts have rated the stock with a sell rating, seventeen have given a hold rating and six have given a buy rating to the stock. According to data from MarketBeat, the company currently has an average rating of “Hold” and a consensus price target of $14.38.

Rivian Automotive Price Performance

The company has a debt-to-equity ratio of 0.93, a current ratio of 5.09 and a quick ratio of 3.70. The company’s 50 day simple moving average is $12.26 and its 200 day simple moving average is $12.13. The company has a market capitalization of $14.03 billion, a PE ratio of -2.63 and a beta of 2.03.

Rivian Automotive (NASDAQ:RIVN) last posted 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 net margin of 95.51% and a negative return on equity of 66.26%. The firm had revenue of $1.73 billion for the quarter, compared to the consensus estimate of $1.43 billion. As a group, sell-side analysts predict that Rivian Automotive, Inc. will post -3.2 earnings per share for the current year.

Insider Activity at Rivian Automotive

In other news, CEO Robert J. Scaringe sold 71,429 shares of the stock in a transaction that occurred 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 sale, the chief executive officer now directly owns 863,361 shares of the company’s stock, 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 Securities & Exchange Commission, which can be accessed through this hyperlink. Also, CFO Claire Mcdonough sold 6,856 shares of Rivian Automotive stock in a transaction on Wednesday, February 19th. The shares were sold at an average price of $14.26, for a total transaction of $97,766.56. Following the completion of the transaction, the chief financial officer now directly 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 185,427 shares of company stock valued at $2,588,475 in the last three months. 2.51% of the stock is currently owned by company insiders.

Institutional Investors Weigh In On Rivian Automotive

Several hedge funds have recently made changes to their positions in RIVN. Connor Clark & Lunn Investment Management Ltd. acquired a new stake in Rivian Automotive during the 3rd quarter worth approximately $570,000. Charles Schwab Investment Management Inc. lifted its holdings in shares of Rivian Automotive by 79.2% during the third quarter. Charles Schwab Investment Management Inc. now owns 4,607,220 shares of the electric vehicle automaker’s stock worth $51,693,000 after purchasing an additional 2,035,831 shares during the period. Cerity Partners LLC lifted its holdings in shares of Rivian Automotive by 38.0% during the third quarter. Cerity Partners LLC now owns 61,927 shares of the electric vehicle automaker’s stock worth $695,000 after purchasing an additional 17,039 shares during the period. Daiwa Securities Group Inc. increased its stake in Rivian Automotive by 37.9% in the 3rd quarter. Daiwa Securities Group Inc. now owns 83,716 shares of the electric vehicle automaker’s stock valued at $939,000 after buying an additional 22,989 shares during the period. Finally, The Manufacturers Life Insurance Company lifted its stake in shares of Rivian Automotive by 6.0% in the 3rd quarter. The Manufacturers Life Insurance Company now owns 76,651 shares of the electric vehicle automaker’s stock worth $860,000 after acquiring an additional 4,338 shares during the period. Institutional investors and hedge funds own 66.25% of the company’s stock.

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.