(This is CNBC Pro’s live coverage of Wednesday’s analyst calls and Wall Street chatter. Please refresh every 20-30 minutes to view the latest posts.) A closely watched electric vehicle maker and a cloud software company were among the talked stocks by analysts on Tuesday. Analysts gave their thoughts on Rivian’s latest quarterly results, with noting there’s still uncertainty looming around the company. Meanwhile, Baird upgraded Datadog to outperform after a sell-off in the previous session. Check out the latest calls and chatter below. All times ET. 5:47 a.m.: Wall Street remains cautious on Rivian, call EV maker a ‘show me story’ A handful of Wall Street firms are keeping to the sidelines on shares of Rivian in the wake of the electric vehicle maker’s quarterly print. “We maintain our Neutral rating on the stock given the high degree of competition in the EV market, which we believe could limit overall profitability/FCF growth,” wrote Goldman Sachs analyst Mark Delaney, citing uncertainty over whether Rivian can reach its goal of positive gross profit in the fourth quarter. Shares of the EV maker dropped more than 4% before the bell after Rivian said Tuesday that it lost $38,784 per vehicle delivered in the first quarter. Rivian topped Wall Street’s revenue estimates and said it “remains confident in its path to achieving modest gross profit in the fourth quarter of this year” as it makes adjustments and improvements. The stock has dropped more than 56% this year as the EV market grapples with mounting competition. RIVN YTD mountain RIVN year to date Barclays analyst Dan Levy reiterated his equal weight rating, calling the company a “show me story” as Wall Street awaits more clarity on its cost reduction efforts. “RIVN posted a fine 1Q, including an EBITDA beat and maintained 2024 guidance,” he wrote. “Yet we believe the key test ahead for RIVN will be on the path of cost reduction – both in the near-term and in the mid-term upon the launch of R2.” Wells Fargo’s Colin Langan called the reaffirmed adjusted EBITDA guidance for 2024 “reiterated, but fluffed,” saying that the company’s breakeven targets look “challenging.” Langan retained his equal weight rating and trimmed his price target to $10 from $14 a share, reflecting about 2% downside from Tuesday’s close. “Its limited production and commercial history leaves much to be seen,” he wrote “Rivian must prove it can acquire the customer base, while maintaining low advertising costs.” — Samantha Subin 5:47 a.m.: Baird upgrades Datadog Baird thinks it’s time to buy shares of Datadog . The firm upgraded the cloud software company to outperform from neutral and raised its price target to $140 from $130. The new target implies upside of 24%. The rating change comes after a tough day for Datadog. Shares tumbled 11% after President Amit Agarwal announced he would step down from his position. The news overshadowed better-than-expected first-quarter earnings and revenue. However, Baird analyst Will Power sees this pullback as a buying opportunity. “DDOG possesses the industry-leading cloud native observability platform that we believe should continue to benefit from the accelerating shift to the cloud,” Power wrote. “Though early, AI is already contributing to growth, and industry share gains from Cisco/Splunk and others could provide an additional tailwind.” “In short, we like the multi-faceted growth opportunity, and expect its combination of growth and cash flow to stand out,” he said. Datadog shares are down more than 7% year to date. DDOG YTD mountain DDOG year to date — Fred Imbert
