Why Rivian Stock Is Hitting The Brakes Today


27% profits every 20 days?

This is what Nic Chahine averages with his options buys. Not selling covered calls or spreads... BUYING options. Most traders don't even have a winning percentage of 27% buying options. He has an 83% win rate. Here's how he does it.


Rivian Automotive Inc (NASDAQ:RIVN) shares are trading lower Wednesday after the company reported fourth-quarter results and issued a recall on several vehicles.

  • Q4 Revenue: $663 million missed estimates of $742.39 million
  • Q4 EPS: Loss of $1.73 beat estimates for loss of $1.94

Rivian said it produced 10,020 vehicles and delivered 8,054 of them during the fourth quarter as it battled supply chain issues. Production totals were up 36% sequentially. Rivian noted that it expects supply chain problems to persist in 2023. 

The Amazon.com Inc (NASDAQ:AMZN)- backed EV maker said it has a preorder backlog that extends into 2024. Rivian expects to produce 50,000 vehicles in full-year 2023.

Related Link: Rivian Q4 Earnings Recap: EV Delivery, Production Totals, 2023 Guidance, R2 Update And More

Analyst Assessment: 

  • Truist Securities analyst Jordan Levy maintained Rivian with a Buy and lowered the price target from $50 to $44.
  • Needham analyst Chris Pierce reinstated Rivian with a Buy and announced a $26 price target.
  • Mizuho analyst Vijay Rakesh maintained Rivian with a Buy and lowered the price target from $42 to $37.

What Else: Rivian also plans to recall 12,716 vehicles to fix an automatic locking retractor sensor in the front passenger seat, according to the National Highway Traffic Safety Administration (NHTSA).

In a statement, Rivian said the recall is limited to a "very small percentage of vehicles," impacting certain model year 2022 R1S and R1Ts. This marks Rivian's second recall in the last six months. 

See Also: Rivian To Recall Over 12,000 Vehicles Due To Passenger Seat Belt Issue

RIVN Price Action: Rivian shares are down 8.65% at $17.63 at time of publication, according to Benzinga Pro.

Photo: courtesy of Rivian.


27% profits every 20 days?

This is what Nic Chahine averages with his options buys. Not selling covered calls or spreads... BUYING options. Most traders don't even have a winning percentage of 27% buying options. He has an 83% win rate. Here's how he does it.


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Posted In: EarningsNewsMoverswhy it's moving