What happened
After moving in reverse yesterday, shares of Rivian (RIVN 3.65%) are powering higher again today. Investors are taking note of some recent analysts who have espoused bullish views on the electric pickup truck manufacturer.
Plus, they may be more motivated to drive Rivian into their portfolios after Ford provided commentary on electric vehicles (EVs) during its second-quarter presentation yesterday.
As of 11:41 a.m. ET on Friday, shares of Rivian are up 3.9%, retreating slightly from their earlier rise of 5.5%.
So what
Maintaining his buy rating on Rivian's stock, Needham analyst Chris Pierce hiked the price target to $31 from $28. Based on the stock's closing price on Thursday, Pierce's price target implies upside of 19%.
Tigress Financial also recognizes that Rivian has room to run, lifting its price target to $36. According to Thefly.com, Tigress analyst Ivan Feinseth predicates the bullish price target on the belief that the company's increasing production and deliveries, paired with growing efficiency, will "drive significant revenue growth and a path to profitability."
In its second-quarter press release, Ford said, "The shift to powerful digital experiences and breakthrough EVs is underway and going to be volatile ..." Rivian investors have their eyes on Ford since its all-electric F-150 Lightning pickup truck represents strong competition.
Evidently, Rivian investors are taking Ford's commentary as a sign that maybe the pressure from Ford isn't as formidable as they had previously thought -- a conclusion that is likely also based on Ford's decision to cut the price of the Lightning F-150 earlier this month.
Now what
While there are valid reasons for EV investors to plug into Rivian stock, the recent hikes in price targets and commentary from Ford don't seem like valid reasons to click the buy button. Investors instead should be laser focused on what the company has to say when it reports second-quarter financial results in the coming days.
