Rivian Automotive price target lowered to $25 from $31 at Needham

Needham lowered the firm’s price target on Rivian Automotive to $25 from $31 but keeps a Buy rating on the shares after its Q3 results. Rivian is deserving of both longer term view and a premium multiple as it increasingly looks like a winner in the ICE to EV transition, with solid demand metrics, pricing power, and improving margins as peers struggle in all three categories, the analyst tells investors in a research note. The firm adds however that the reduced price target is a concession to the current interest rate environment and lower FY24 delivery estimates vs. its prior model.