Rivian Automotive (NASDAQ:RIVN) Shares Gap Down - Here's Why

Rivian Automotive, Inc. (NASDAQ:RIVN - Get Free Report) shares gapped down before the market opened on Friday . The stock had previously closed at $13.61, but opened at $12.71. Rivian Automotive shares last traded at $13.05, with a volume of 24,915,746 shares traded.

Analysts Set New Price Targets

A number of equities research analysts have recently issued reports on the company. Truist Financial boosted their target price on Rivian Automotive from $12.00 to $14.00 and gave the stock a "hold" rating in a research report on Thursday, January 16th. UBS Group boosted their price objective on Rivian Automotive from $11.00 to $14.00 and gave the stock a "neutral" rating in a report on Thursday, January 16th. Royal Bank of Canada reduced their price objective on shares of Rivian Automotive from $14.00 to $12.00 and set a "sector perform" rating for the company in a research note on Friday, November 8th. Benchmark initiated coverage on shares of Rivian Automotive in a research report on Monday, December 9th. They issued a "buy" rating and a $18.00 target price on the stock. Finally, The Goldman Sachs Group boosted their price target on shares of Rivian Automotive from $10.00 to $12.00 and gave the company a "neutral" rating in a report on Thursday, November 14th. Two research analysts have rated the stock with a sell rating, fifteen have given a hold rating and nine have assigned a buy rating to the stock. According to data from MarketBeat.com, the company currently has an average rating of "Hold" and a consensus price target of $15.50.

Rivian Automotive Price Performance

The company's 50-day simple moving average is $13.56 and its 200 day simple moving average is $12.53. The company has a market capitalization of $13.24 billion, a P/E ratio of -2.32 and a beta of 2.04. The company has a quick ratio of 3.70, a current ratio of 5.09 and a debt-to-equity ratio of 0.93.

Rivian Automotive (NASDAQ:RIVN - Get Free Report) last issued its quarterly earnings data on Thursday, February 20th. The electric vehicle automaker reported ($0.63) earnings per share (EPS) for the quarter, topping analysts' consensus estimates of ($0.69) by $0.06. Rivian Automotive had a negative net margin of 121.38% and a negative return on equity of 72.78%. The firm had revenue of $1.73 billion during the quarter, compared to analysts' expectations of $1.43 billion. As a group, sell-side analysts expect that Rivian Automotive, Inc. will post -4.7 earnings per share for the current fiscal year.

Insider Activity

In other Rivian Automotive news, CEO Robert J. Scaringe sold 83,334 shares of the company's stock in a transaction that occurred on Monday, November 25th. The stock was sold at an average price of $11.25, for a total transaction of $937,507.50. Following the completion of the sale, the chief executive officer now owns 863,361 shares of the company's stock, valued at $9,712,811.25. This represents a 8.80 % decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. Also, CFO Claire Mcdonough sold 6,856 shares of the stock in a transaction that occurred on Wednesday, February 19th. The shares were sold at an average price of $14.26, for a total value of $97,766.56. Following the transaction, the chief financial officer now owns 335,076 shares in the company, valued at approximately $4,778,183.76. This trade represents a 2.01 % decrease in their position. The disclosure for this sale can be found here. In the last quarter, insiders have sold 366,788 shares of company stock valued at $5,024,431. Insiders own 2.51% of the company's stock.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently bought and sold shares of the company. Baillie Gifford & Co. increased its stake in shares of Rivian Automotive by 52.5% in the third quarter. Baillie Gifford & Co. now owns 50,357,579 shares of the electric vehicle automaker's stock worth $565,012,000 after purchasing an additional 17,341,786 shares during the period. Capital International Investors bought a new stake in Rivian Automotive during the 4th quarter valued at approximately $144,030,000. Norges Bank acquired a new stake in Rivian Automotive in the 4th quarter valued at approximately $123,308,000. Northern Trust Corp increased its position in Rivian Automotive by 68.5% in 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 period. Finally, Twinbeech Capital LP acquired a new position in shares of Rivian Automotive during the fourth quarter worth approximately $29,944,000. Institutional investors and hedge funds own 66.25% of the company's stock.

Rivian Automotive Company Profile

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.