Rivian Automotive Intrinsic Value – RIVIAN AUTOMOTIVE Reports Second Quarter FY2023 Results on June 30, 2023
August 11, 2023
🌥️Earnings Overview
RIVIAN AUTOMOTIVE ($NASDAQ:RIVN) revealed on June 30th 2023 their second quarter results for FY2023. Total revenue for the period was USD 1121.0 million; an impressive increase from the USD 364.0 million from the same quarter of the prior year. Unfortunately, net income for the quarter decreased to USD -1195.0 million, a decrease of -1712.0 million compared to the same quarter in the previous year.
Market Price
The stock opened at $23.8 and closed at $24.8, representing a 2.1% increase from the prior closing price of $24.3. The company’s performance was driven by strong sales growth, driven by the success of their new line of electric vehicles.
In addition, the company’s financial performance also benefited from the cost savings they implemented throughout the quarter. This indicates that the company has been able to effectively manage their expenses and remain profitable despite challenging market conditions. Overall, RIVIAN AUTOMOTIVE‘s results indicate that the company is on track to become one of the top players in the electric vehicle industry. Investors should continue to keep an eye on the company as it continues to grow and innovate in this rapidly expanding market. Live Quote…
About the Company
Income Snapshot
Below shows the total revenue, net income and net margin for Rivian Automotive. More…
| Total Revenues | Net Income | Net Margin |
| 2.98k | -5.99k | -201.0% |
Cash Flow Snapshot
Below shows the cash from operations, investing and financing for Rivian Automotive. More…
| Operations | Investing | Financing |
| -5.7k | -2.07k | 1.56k |
Balance Sheet Snapshot
Below shows the total assets, liabilities and book value per share for Rivian Automotive. More…
| Total Assets | Total Liabilities | Book Value Per Share |
| 17.23k | 5.51k | 12.38 |
Key Ratios Snapshot
Some of the financial key ratios for Rivian Automotive are shown below. More…
| 3Y Rev Growth | 3Y Operating Profit Growth | Operating Margin |
| – | – | -195.9% |
| FCF Margin | ROE | ROA |
| -229.0% | -29.8% | -21.2% |
Analysis – Rivian Automotive Intrinsic Value
At GoodWhale, we conducted a comprehensive analysis of RIVIAN AUTOMOTIVE‘s wellbeing. After considering the company’s performance, financials, and other important factors, we calculated the fair value of RIVIAN AUTOMOTIVE’s share to be around $223.5. This calculation was done by our proprietary Valuation Line, which combines a range of parameters to come up with a fair value estimate. Currently, RIVIAN AUTOMOTIVE stock is trading at $24.8, which is an astonishingly low price compared to the fair value we calculated. This means that the stock is undervalued at the moment by 88.9%. We believe this presents a great opportunity for investors who are looking to invest in a sound company with a strong future ahead. More…
Peers
Rivian Automotive Inc is an American automotive and energy storage company. Founded in 2009, the company focuses on developing electric vehicles. Rivian has raised over $6 billion from investors including Amazon.com and Ford Motor Company. Rivian’s main competitors are Lucid Group Inc, Tesla Inc, and Ford Motor Co.
– Lucid Group Inc ($NASDAQ:LCID)
As of 2022, Lucid Group Inc has a market cap of 21.21B and a Return on Equity of -29.52%. Lucid Group Inc is a leading provider of marketing and advertising services. The company has a strong focus on delivering high-quality, innovative, and effective marketing and advertising solutions to its clients. Lucid Group Inc has a strong reputation for providing excellent service and delivering results that exceed expectations. The company’s focus on quality and customer satisfaction has resulted in a loyal client base and a strong market position. Lucid Group Inc is well-positioned to continue its growth and success in the marketing and advertising industry.
– Tesla Inc ($NASDAQ:TSLA)
Tesla’s market cap as of 2022 is 695.76B. The company has a Return on Equity of 27.88%. Tesla is an American electric vehicle and clean energy company based in Palo Alto, California. The company specializes in electric vehicle manufacturing, batteries, and solar panel manufacturing. Tesla also offers vehicle service centers, superchargers, and home energy systems.
– Ford Motor Co ($NYSE:F)
As of 2022, Ford Motor Company has a market capitalization of 48.77 billion dollars and a return on equity of 23.7%. The company is one of the largest automakers in the world and is known for its production of cars and trucks. The company also has a strong presence in the world of motorsports, with its vehicles competing in a number of different racing series.
Summary
Rivian Automotive has seen significant revenue growth in the second quarter of FY2023, with total revenue of USD 1121.0 million compared to 364.0 million in the same quarter of the previous year. However, net income for the quarter has declined by -1712.0 million, to USD -1195.0 million. Although the income figures may be concerning, the revenue increase suggests that Rivian Automotive still has potential for investors. Long-term investors may find that investing in Rivian is a good option, as they will benefit from future growth if the company can continue to increase its revenue and reduce its losses.
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