Rivian (NASDAQ: RIVN) shares finished trading at $29.53 −$0.18 (0.61%) on Friday, November 25, with the stock falling a total of -$3.16 (-9.67%) over the past five days. Supply chain inefficiencies, ramp-up issues, reduced production forecast, inflation, and price increases have contributed to Rivian’s 71% drop in share price year-to-date (YTD).
Given the fall in 2022, it is important to track institutional ownership since these investors are a source of both liquidity and support for stocks. As a result, Finbold analyzed the holdings of three of Rivian’s major shareholders that have submitted a position update for the third quarter, as well as other RIVN stock institutional put/call ratios.
Amazon (NASDAQ: AMZN) remains Rivian’s largest institutional shareholder, with 158.36 million shares remaining unchanged in Q3. Rivian has a 100,000 vehicle order for its electric delivery van (EDV) from Amazon, with some EDVs already having been delivered. Jeff Bezos, who formerly served as CEO of Amazon, had stated he anticipated there would be 100,000 Amazon EDVs on the road by 2024.
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Elsewhere, during the third quarter, T. Rowe Price (NASDAQ: TROW) sold 932,366 shares of RIVN stock; however, the company still has 140.63 million shares. Elsewhere, BlackRock (NYSE: BLK), during the third quarter, acquired 14.38 million shares to reach 46.56 million shares.
Rivian institutional investors
During its Q3 earnings report, the electric vehicle (EV) manufacturer revealed that it would retain its full-year production target of 25,000 cars while also reporting a 67% increase in production quarter-over-quarter. The number of 554 13F filers who reported holding RIVN shares increased by 24 from the previous quarter to 554 during the third quarter. These shareholders have a total of 625.19 million shares, an increase from their Q2 holdings of 567.11 million shares.
The institutional put/call ratio has increased from 0.53 to its current level of 0.73, indicating that investors are bullish on the options market since it equates to 16.89 million calls and 23.10 million puts.
RIVN chart and analysis
RIVN is currently trading near the lower end of its 52-week range, lagging behind the S&P 500 Index, which is trading in the middle of its 52-week range. In the last month, RIVN has been trading in the $27.36 – $36.45 range, which is quite broad, and the stock is currently trading near the lows of this range.
Given that prices have been falling firmly lately, it is better to avoid new long positions here with considerably lower volume observed in the last couple of days. Support is $28.72 from a trend line in the daily time frame. At the same time, a resistance zone from $31.68 to $31.98 is formed by a combination of multiple trend lines and important moving averages in the daily time frame.
At the time of publication, RIVN was trading below (14.41%) its 20-day, 50-day, and 200-day simple moving averages (SMA).
RIVN stock technical analysis
The short-term technical analysis (TA) for RIVN doesn’t paint much of a better picture as it is somewhat bearish on the 1-day gauges. The summary gauge points to a ‘sell’ sentiment at 15; meanwhile, moving averages (MA) suggest a ‘strong sell’ at 13.
The oscillators point to ‘neutral’ at eight, according to the data obtained from the market analytics platform TradingView on November 28.
However, on Wall Street, fifteen analysts giving a year price target to Rivian estimate an average price of $47.53, a 60.97% increase from RIVN’s current stock price.
Based on a total of nineteen analyst verdicts, the consensus rating for Rivian is a ‘buy’ with just one analyst advocating a ‘strong sell.’ The majority of experts at 11 suggest a ‘strong buy,’ while four opt to ‘hold’, two to ‘sell’, and one is a ‘buy.’
Finally, the focus at Rivian heading into 2023 is on increasing output to meet the high demand. Notably, to meet its production targets, the business recently established a second shift at its Normal, Illinois operation.
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Disclaimer: The content on this site should not be considered investment advice. Investing is speculative. When investing, your capital is at risk.
