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Rivian “now appears to have its production and supply chain issues well under control,” said Wedbush analyst Dan Ives.
Courtesy of Rivian
Rivian Automotive
was rising Friday after the price target on shares of the electric-vehicle maker was raised by an analyst who said the company was “making a major turn
towards executing on its longer-term business model.”
Wedbush analyst Dan Ives increased his price target on
Rivian
(ticker: RIVN) to $30 from $25 on Friday and maintained his Outperform rating on the stock.
“We believe after a number of ‘one step forward, two steps back’ excuses for
Rivian and supply-chain headaches, the company is finally making a major turn
towards executing on its longer term business model,” Ives said.
Rivian reported earlier this week that it made made 13,992 EVs in the second quarter and sold 12,640 units. It was a major jump from the 9,395 vehicles produced and 7,946 sold in the company’s first quarter.
Investors were happy to see Rivian showing growth in production and sales, especially after first-quarter production and deliveries had fallen from the fourth quarter of 2022. If Rivian closes in the green Friday, it would mark the stock’s eighth-straight session of gains. It has jumped 76% over this period. That would be the stock’s longest winning streak since September 2022 and its best eight-day stretch on record, according to Dow Jones Market Data.
“After quarters of disappointing production speed bumps, supplier issues, and what felt like an ongoing agita situation, Rivian now appears to have its production and supply chain issues well under control with the laser focus on getting deliveries in the hands of eagerly awaiting customers,” Ives said.
Shares of Rivian were rising 9.2% Friday to $23.60, which would mark the highest close for the stock since December 2022. Rivian has climbed 28% this year.
Write to Angela Palumbo at [email protected]
