Why Rivian Stock Is Sinking Today
Rivian Automotive (NASDAQ: RIVN) stock is tumbling on Friday, trading down 6.4% at noon ET. Competition is heating up for the company, but that's not even why an analyst just trimmed his price target on the electric vehicle (EV) stock for the second time this month.
Mizuho analyst Vijay Rakesh, who cut Rivian's price target to $100 a share from $145 per share in early March, now sees the stock rising to $95 a share. While that still means expected upside potential of more than 100% in the next 12 months, a price cut also reflects more hurdles for Rivian's growth.
Rakesh, in fact, noted the supply constraints facing Rivian and expects the company to deliver fewer vehicles in the first half of the year. He expects production to ramp up later in the year as the macro environment improves.
Source Fool.com
