Rivian (NASDAQ: RIVN) inventory stepped on the bullish pedal Monday. The electrical car (EV) specialist’s share value ended the day’s buying and selling up 3.9%, in line with knowledge from S&P World Market Intelligence.
With its share value down roughly 41% yr up to now, Rivian inventory has struggled throughout the primary half of 2024. However some analysts suppose that the sell-off has change into overblown. Analysts at each RBC Capital and Canaccord raised their value targets on the inventory at this time, and the constructive momentum helped energy its beneficial properties.
RBC Capital takes a impartial stance on Rivian inventory
RBC Capital’s Tom Narayan printed a word on Rivian inventory earlier than the market opened this morning, sustaining a sector-perform score on the inventory. Whereas the analyst maintained his total score on the inventory, he did elevate his one-year value goal from $11 per share to $14 per share. Based mostly on the inventory’s closing value at this time, that displays an expectation that the EV specialist is precisely valued.
Narayan pointed to the corporate’s cope with Volkswagen offering precious liquidity for Rivian’s enterprise and a reinforcing catalyst for its inventory. The deal might present as much as $5 billion in funding capital for Rivian. The analyst additionally mentioned to search for a possible shift into constructive gross margins within the fourth quarter as an vital indicator for Rivian.
Canaccord Genuity is way extra bullish
Within the word it printed on Rivian inventory at this time, Canaccord Genuity maintained a purchase score on Rivian inventory. Extra strikingly, the agency raised its one-year value goal on the inventory from $20 per share to $30 per share. If the EV specialist had been to hit that new valuation projection, it might counsel upside of roughly 114%.
Canaccord sees Volkswagen’s funding in Rivian as a monumental occasion. The agency thinks that the market is underestimating the impression of the deal, and its new value goal factors to expectations for a valuation turnaround occurring within the close to future.
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Keith Noonan has no place in any of the shares talked about. The Motley Idiot has positions in and recommends Volkswagen Ag. The Motley Idiot has a disclosure coverage.
Why Rivian Inventory Surged At the moment was initially printed by The Motley Idiot
