Shares of electric vehicle maker Rivian Automotive (NASDAQ:RIVN) are tanking today after the company’s vehicle delivery numbers for the fourth quarter failed to impress investors.
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During the quarter, Rivian produced 17,541 vehicles at its Illinois facility. It delivered 13,972 units during this period versus analysts’ expectations of just over 14,000 deliveries. For the full year, the company produced 57,232 vehicles and delivered 50,122 units. It had anticipated production of 54,000 vehicles for the year.
Further, the EV maker announced that it will release results for the fourth quarter after the market closes on February 21. Analysts expect Rivian to incur a net loss per share of $1.34 on revenue of $1.28 billion for the quarter. In the comparable year-ago period, Rivian’s net loss per share of $1.73 had come in narrower than estimates by $0.23.
Recently, Rivian slashed nearly 20 positions from its long-range battery cell development team. The layoffs also included its lead cell engineer, Victor Prajapati. Reportedly, the company plans to focus on its R2 platform, with production expected to begin in 2026.
What is the Target Price for RIVN?
Overall, the Street has a Moderate Buy consensus rating on Rivian. After a 25% gain in its share price over the past year, the average RIVN price target of $25.63 implies a modest 9.25% potential upside in the stock. Still, Rivian is a top pick for 2024 at Robert W. Baird.
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