Rivian Automotive, Inc.

Rivian Automotive, Inc. (NASDAQ: RIVN) is an electric car and accessory company that designs, develops, and manufactures category-defining vehicles and accessories.

RIVN went listed on November 10, 2021, at an initial offering price of USD 78.00.

On February 1, 2022, the Company announced its fourth-quarter and full-year financial results for 2021 will be revealed on March 10, 2022.

Key Highlights:

• The Company spent USD 83 million to generate sales of USD 1 million in Q3 FY21, compared to NIL in Q3 FY20, resulting in a reduction in top-line business.
• In Q3 FY21 and Q3 FY20, the Company incurred operating expenses of USD 694 million versus USD 288 million, resulting in considerable increases in losses of USD 1233 million versus USD 288 million.
• The COVID-19 pandemic's cascading effects have influenced its business and operations, from building development to equipment installation to vehicle component procurement.
• As a new entrant into the automotive business, the Company may find it challenging to compete in this industry.
• From a technical viewpoint, the Stock is currently trading below its crucial support level of 50 days SMA, indicating a bearish trend.
• The Stock is trending lower within its 52-week range of USD 50.00 to USD 179.46.

Stock Recommendation

Considering the operational and financial performance, continuing losses, competition risk, other risk factors and unfavourable technical indicators, we recommend a "Watch" rating on the Stock at the closing price of USD 60.95, up 4.44% as of February 8, 2022.

RIVN’s Technical Price Chart (Source: REFINITIV, Analysis by Kalkine Group)

 *The reference data in this report has been partly sourced from REFINITIV

Park City Group, Inc.

Park City Group, Inc. (NASDAQ: PCYG) provides software as a service. The business and its subsidiaries create, market, and support proprietary software. On February 02, 2022, the Company announced to publish financial report earnings for Q2 FY22 on February 14, 2022.

Key Highlights:

• The Company recorded a decline in revenue by 12.74%, from USD 45.59 million in Q1 FY22 to USD 52.25 million in Q1 FY21.
• As of September 30, 2021, the Company had USD 20.4 million in cash and cash equivalents, compared to USD 24.1 million as of June 30, 2021, resulting from a net decline of USD 3.7 million.
• The Company may see difficulties predicting the amount of service and technological resources that customers of new offerings will require. If it underestimates the needed resources, the quality of service will suffer, lowering the product's value.
• The Company’s net income to common shareholders increased to USD 0.8 million in Q1 FY22 compared to USD 0.41 million in Q1 FY21.
• The Stock is trading towards the upper band of the 52-week range of USD 4.80 to USD 8.64, resulting in an overbought zone.
• From a technical viewpoint, the 14 days RSI level is ~72.51, indicating bearing momentum.

Stock Recommendation

Based on the decrease in revenue, decline in cash, associated risks related to business, and bearish technical indicators. We suggest keeping an eye on this Stock as the price is in the overbought zone. Hence, we recommend a "Watch" rating on the Stock at the closing price of USD 8.35, down 2.95% as of February 8, 2022.

PCYG’s 1-Year Technical Price Chart. (Source: REFINITIV, Analysis by Kalkine Group)

. *The reference data in this report has been partly sourced from REFINITIV.

Disclaimer

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