Deutsche Bank Aktiengesellschaft Issues Pessimistic Forecast for MP Materials (NYSE:MP) Stock Price

Key Points

• Deutsche Bank lowered its price target on MP Materials from $70 to $61 while keeping a buy rating, implying roughly 17.65% upside from the prior close.
• Despite the cut, analyst sentiment on MP remains generally positive: the stock has an average Buy rating and a consensus target price of $79.54, with several firms recently issuing or raising bullish targets.
• MP Materials recently reported better-than-expected quarterly results, posting $0.03 EPS versus an expected loss and $90.65 million in revenue, though the company still showed negative margins and analysts expect a small loss for the year.

MP Materials (NYSE:MP - Get Free Report) had its price objective lowered by investment analysts at Deutsche Bank Aktiengesellschaft from $70.00 to $61.00 in a research report issued to clients and investors on Thursday,Benzinga reports. The firm currently has a "buy" rating on the stock. Deutsche Bank Aktiengesellschaft's target price points to a potential upside of 17.65% from the stock's previous close.

MP has been the topic of several other reports. Weiss Ratings reissued a "sell (d-)" rating on shares of MP Materials in a research report on Tuesday, April 21st. Needham & Company LLC began coverage on MP Materials in a research report on Monday, June 1st. They issued a "buy" rating and a $81.00 target price for the company. Morgan Stanley increased their price objective on shares of MP Materials from $70.00 to $71.50 and gave the stock an "overweight" rating in a research note on Wednesday. Barclays assumed coverage on shares of MP Materials in a report on Thursday, May 21st. They set an "overweight" rating and a $69.00 price target for the company. Finally, Wedbush raised their price target on MP Materials from $90.00 to $100.00 and gave the company an "outperform" rating in a report on Friday, May 8th. Three research analysts have rated the stock with a Strong Buy rating, fifteen have issued a Buy rating and one has given a Sell rating to the stock. According to data from MarketBeat.com, the company presently has an average rating of "Buy" and a consensus target price of $79.54.

MP Materials Stock Performance

NYSE MP traded down $1.15 on Thursday, reaching $51.85. The stock had a trading volume of 2,215,589 shares, compared to its average volume of 6,679,896. The company has a debt-to-equity ratio of 0.47, a quick ratio of 6.58 and a current ratio of 7.18. The stock has a market cap of $9.23 billion, a P/E ratio of -123.73 and a beta of 1.86. The business's 50-day moving average price is $60.67 and its 200 day moving average price is $59.41. MP Materials has a 12-month low of $42.86 and a 12-month high of $100.25.

MP Materials (NYSE:MP - Get Free Report) last announced its quarterly earnings results on Thursday, May 7th. The company reported $0.03 EPS for the quarter, topping the consensus estimate of ($0.01) by $0.04. The business had revenue of $90.65 million for the quarter, compared to analyst estimates of $74.82 million. MP Materials had a negative return on equity of 2.27% and a negative net margin of 28.00%.The company's quarterly revenue was up 49.1% on a year-over-year basis. During the same quarter in the previous year, the company earned ($0.12) EPS. As a group, equities analysts expect that MP Materials will post -0.04 earnings per share for the current year.

Insider Buying and Selling at MP Materials

In related news, CEO James H. Litinsky sold 185,167 shares of the business's stock in a transaction that occurred on Wednesday, June 3rd. The shares were sold at an average price of $69.14, for a total transaction of $12,802,446.38. Following the transaction, the chief executive officer directly owned 11,620,798 shares of the company's stock, valued at approximately $803,461,973.72. The trade was a 1.57% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is accessible through the SEC website. Also, COO Michael Stuart Rosenthal purchased 10,000 shares of the stock in a transaction dated Tuesday, June 9th. The shares were bought at an average price of $54.30 per share, for a total transaction of $543,000.00. Following the completion of the acquisition, the chief operating officer owned 136,622 shares in the company, valued at $7,418,574.60. This represents a 7.90% increase in their ownership of the stock. The SEC filing for this purchase provides additional information. Over the last ninety days, insiders sold 1,205,167 shares of company stock valued at $79,371,654. 8.20% of the stock is currently owned by corporate insiders.

Institutional Trading of MP Materials

Several large investors have recently modified their holdings of MP. Royal Bank of Canada grew its position in MP Materials by 26.5% during the first quarter. Royal Bank of Canada now owns 234,185 shares of the company's stock worth $5,716,000 after buying an additional 49,052 shares in the last quarter. AQR Capital Management LLC bought a new stake in shares of MP Materials in the 1st quarter worth approximately $215,000. Integrated Wealth Concepts LLC bought a new stake in shares of MP Materials in the 1st quarter worth approximately $219,000. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. grew its holdings in shares of MP Materials by 4.6% during the 1st quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 10,793 shares of the company's stock worth $265,000 after purchasing an additional 479 shares in the last quarter. Finally, Goldman Sachs Group Inc. grew its holdings in shares of MP Materials by 36.0% during the 1st quarter. Goldman Sachs Group Inc. now owns 193,943 shares of the company's stock worth $4,734,000 after purchasing an additional 51,348 shares in the last quarter. 52.55% of the stock is owned by institutional investors.

About MP Materials

MP Materials Corporation operates as a vertically integrated producer of rare earth materials in North America. The company owns and manages the Mountain Pass Rare Earth Mine and Processing Facility in California, the only commercially viable rare earth mining and processing site in the United States. MP Materials extracts, separates and refines critical rare earth elements—such as neodymium, praseodymium, and cerium—which are essential inputs for permanent magnets used in electric vehicles, wind turbines, and various defense applications.

The Mountain Pass mine first began commercial rare earth production in the 1950s and was later operated by Molycorp until its bankruptcy in 2015.

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