Quick Read – Piper Sandler upgraded Rivian to Overweight with a $20 target while double-downgrading Stellantis to Underweight with a slashed $4 target. – Stellantis holds $37 billion in cash, trades near one-tenth of sales, and consensus targets imply 58% upside versus Rivian’s…
%. – Rivian burned $1 billion in free cash flow in Q1 while guiding for up to $2.1 billion in adjusted EBITDA losses this year. – Piper Sandler just drew a hard line between two of the auto sector’s most-watched names: Rivian Automotive (NASDAQ:RIVN) and Stellantis (NYSE:STLA). Which one should a retirement-focused investor actually own right now?
The bank says buy Rivian and dump Stellantis. The retirement investor’s answer, once you strip away the narrative, runs the other direction. Analyst Alexander Potter upgraded Rivian to Overweight from Neutral with a price target raised from $18 to $20, citing a “de-risked” balance sheet and “smooth” R2 ramp.
In the same breath, he double-downgraded Stellantis to Underweight from Overweight with a price target slashed from $14 to $4, warning that “Stellantis’ situation will likely get worse before it gets better.” That is the trading call. Retirement capital plays by different rules. Valuation: Stellantis Wins Decisively Rivian trades at roughly 4.15x sales against a $22.86 billion market cap on $5.53 billion of trailing revenue.