Rivian Analyst Cuts Estimates On Demand Concerns, Warns Softer Production, Delivery Trends Jeopardize Growth Stock Multiple
Portfolio Pulse from Adam Eckert
JPMorgan analysts have lowered their price target for Rivian Automotive Inc (NASDAQ:RIVN) from $14 to $12 due to concerns over demand and production disruptions. Rivian's recent delivery numbers showed a significant decline, and the company has reduced its annual production guidance. Despite this, Rivian maintains its 2024 delivery guidance, suggesting unchanged demand. The analysts warn that these trends could impact Rivian's growth stock multiple.
October 22, 2024 | 4:24 pm
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JPMorgan has reduced its price target for Rivian to $12 due to demand concerns and production disruptions. Rivian's deliveries have decreased significantly, and the company has lowered its annual production guidance. These factors could affect Rivian's growth stock multiple.
The reduction in price target by JPMorgan is based on Rivian's declining delivery numbers and production disruptions, which indicate potential demand issues. The lowered production guidance further supports this concern. These factors are likely to negatively impact Rivian's stock price in the short term, as they suggest challenges in maintaining its growth stock multiple.
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