Rivian Automotive, Inc (NASDAQ: RIVN) shares fell over 4.5% at one point on Thursday before bouncing up from the 21-day EMA. The EV maker is set to print its fourth-quarter earnings after the closing bell.
The move lower on Wednesday and Thursday comes after Rivian announced its first set of special-edition models, the R1T and R1S California Dune Edition, according to Car and Driver, indicating investors are feeling cautious about the company’s top and bottom line.
For the quarter, analysts estimate Rivian will post a loss of 68 cents on revenue of 1.4 billion. Rivian has missed on its last four earning prints but said it would break even for the first time when it posts its results on Thursday.
Ahead of the event, Bernstein analyst Daniel Roeska weighed in on the stock, calling for Rivian to fall short of the projections it laid out at the beginning of 2024, according to TipRanks.
While Rivian’s chart leans slightly bullish, it should be noted that holding stocks or options over an earnings print is akin to gambling because stocks can react bullishly to an earnings miss and bearishly to an earnings beat.
After Rivian reported a third-quarter miss on Nov. 7, the stock surged 31% over the five trading days that followed before rejecting the 200-day SMA. Since then, however, Rivian has regained that area and is trading up over 39% this quarter.
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The Rivian Chart: After a brief selloff between Dec. 24 and Jan. 13, Palantir entered into a strong uptrend, making a consistent series of higher highs and higher lows. The most recent higher low was formed on Jan. 27 at $72.67 and the most recent confirmed higher high was printed at the all-time high on Friday.
- Rivian briefly lost support at the eight-day EMA and 50-day SMA on Thursday before bulls came in and bought the dip, causing the stock to trade above all its major major moving averages, which is bullish. The stock is also trading above the 200-day SMA, which indicates a positive trend.
- Rivian is also trading in a strong uptrend, having made a series of higher highs and higher lows. The most recent higher high was printed at the $14.45 mark on Tuesday and the most recent confirmed higher low was formed on Feb. 12 at $12.25.
- Bulls want to see Rivian receive a positive reaction to its earnings print and rise above $15 to indicate the uptrend remains intact. If that happens, Thursday’s low-of-day will mark the next higher low within the uptrend.
- Bears want to see Rivian suffer a negative reaction to the news and fall under the 50-day SMA and the eight-day and 21-day EMAs, which could force the stock to test the 200-day SMA as support and negate the uptrend.
- The stock has resistance above at $13.81 and at $15.80 and support below at $11.68 and at $9.93.
