3 Reasons to Target Rivian Stock

Piper Sandler upgraded RIVN to “overweight” and lifted its price target to $21

Piper Sandler upgraded the shares of electric vehicle (EV) giant Rivian Automotive Inc (NASDAQ:RIVN) to “overweight” from “neutral,” and hiked its price target to $21 from $15. The analyst cited the stock’s valuation, as well as the company’s cash, and its new vehicle platform — the R2 SUV that will start at around $45,000. In response, RIVN is up 3.5% to trade at $11.10 in premarket trading.

When we last covered Rivian stock, J.P. Morgan Securities initiated bullish coverage. We also noted that there was room for pessimism to unwind amongst the brokerage bunch, and that shift seems to be taking place. Meanwhile, the 122.38 million shares sold short account for 17.8% of the security’s total available float.

Since gapping lower on the charts after earnings in latter part of February, RIVN has struggled, and its most recent rally lost steam just above the $13.50 area. The equity yesterday fell nearly 9%, following news that sector peer Fisker (FSR) was preparing to file for bankruptcy. Rivian stock sports a 54.4% year-to-date deficit.

Leave a Reply

Your email address will not be published. Required fields are marked *