Rivian stock (RIVN) price target lowered at Deutsche Bank
Analysts at Deutsche Bank have lowered their price target for Rivian stock (NASDAQ:RIVN) from $14 to $13 per share earlier this week. The bank opted to maintain its “Hold” rating on RIVN shares.
The analysts noted that they adjusted their expectations for the electric truck maker following the release of Rivian’s Q3 2024 vehicle delivery and production report. Rivian’s third quarter report left much to be desired, with the company revising its annual production guidance to between 47,000 and 49,000 vehicles, down from the 57,000 that it reaffirmed in August.
“All in, we update our model to reflect Q3 deliveries and lower production outlook,” Deutsche Bank analysts noted. The analysts also cited concerns about whether Rivian could attain a positive gross margin in the fourth quarter.
Deutsche Bank’s revised model for Rivian now estimates Q3 revenues to hit $867 million, a decrease from its previous $951 million estimate and even lower than the market consensus of $1.088 billion, as noted in a report from Investing.com. The bank’s FY 2024 delivery forecast has been revised to around 51,000 vehicles, with estimated revenues at $4.4 billion and EBITDA at a loss of $2.7 billion.
Deutsche Bank also noted that it was expecting Rivian to deliver 56,000 vehicles in 2025, down from its previous estimate of 62,000 units. This was due to the bank anticipating that the electric truck maker’s supply chain issues could extend into the fourth quarter of 2024.
Rivian’s supply chain issues in the third quarter were reportedly due in no small part to a miscommunication with supplier Essex Furukawa, which provides copper windings for electric motors. As claimed in a previous report from Bloomberg News, Rivian miscalculated when it communicated its supply and demand needs with the supplier. As a result, Essex Furukawa reportedly committed its resources to support other customers.
Check out some of our best-selling items at Rivianist!
Lift your truck safely and Change your Rivian's tires with confidence using our Rivian R1T/R1S Jack Pad Pucks! These jack pad pucks protect your truck's frame when lifted. They're made from tough aluminum to handle heavy loads, and their precise fit prevents damage to your R1T/R1S undercarriage. Their compact size makes them easy to store in your truck bed as well.
Tired of console clutter? Our Rivian R1T & R1S Lower Center Console Storage Tray doubles your space. With two levels, you can keep small items organized and easy to find. It’s also made from durable, high-quality materials that are built to last. Of course, it fits perfectly in your R1S/R1T lower center console for a clean look.
Only the best for your R1T. Our Rivian R1T All-Weather Floor Mats by 3D Maxpider shield your carpets from dirt, mud, and water—because spills and all sorts of unexpected things can happen. They’re custom-fit for perfect coverage and a sleek look, and they’re designed with raised edges to trap messes and make cleaning a snap. They’re extremely durable too.
Love your R1S, ditch the chrome with our Rivian R1S Chrome Delete (Full DIY Kit). This DIY kit lets you personalize your R1S for that cool, clean, modern, and murdered out look. They’re easy to install yourself, so you can probably complete their installation on a Saturday morning. They’re made with high-quality vinyl too, so they should last for years.
Show Off Your Sporty Style with our Rivian R1T Performance Lower Side Stripes. These performance lower side stripes add a touch of sporty flair to your Rivian R1T. They’re made from high-quality vinyl that stays on strong, and they’re very easy to apply for a professional-looking finish. They’re also available in various finishes to match your personal style.
