Rivian Automotive Stock Stalls Despite Production Update

RIVN now carries a 60% year-to-date deficit

Digital Content Manager
Apr 6, 2022 at 10:32 AM
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Despite what were once sizable premarket gains, Rivian Automotive Inc (NASDAQ:RIVNis down 4.2% to trade at $40.43 at last check, after the electric vehicle (EV) concern announced it is on track to meet its production target of 25,000 vehicles in 2022. It appears the entire EV sector is stuck in the mud today, with the likes of Tesla (TSLA) and Nio (NIO) deep in the red this morning.

Also weighing on RIVN is a price-target cut from BofA Global Research to $100 from $140 this morning. Still, the brokerage bunch remains overwhelmingly optimistic towards Rivian Automotive stock, with eight of the 11 analysts in coverage calling the security a "buy" or better, while the 12-month consensus target price $84.62 is a 104.4% premium to its current perch.

Meanwhile, short sellers are piling on. Short interest added 30.9% in the most recent reporting period, and the 44.79 million shares sold short account for 7% of the stock's available float.

Last time we checked on Rivian Automotive stock, it was trading at record lows after a dismal production forecast. The shares are on track for their fifth loss in six trading days, while the newly-formed 50-day moving average contained a mini-rally late last month. Year-to-date, the equity is down 60%

 

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