Legato Capital Management LLC Buys 8,515 Shares of MP Materials Corp. $MP

Key Points

• Legato Capital Management boosted its MP Materials stake by 47.5% in the fourth quarter, buying 8,515 additional shares and bringing its total holdings to 26,430 shares worth about $1.335 million.
• MP Materials reported stronger-than-expected quarterly results, posting $0.03 EPS versus the expected loss and $90.65 million in revenue, up 49.1% year over year, though the company remains unprofitable.
• Analyst sentiment remains broadly bullish, with recent firms including Barclays, DA Davidson, and Canaccord Genuity maintaining positive ratings and an average price target of about $80.08.

Legato Capital Management LLC raised its stake in MP Materials Corp. (NYSE:MP - Free Report) by 47.5% during the fourth quarter, according to its most recent disclosure with the Securities and Exchange Commission (SEC). The firm owned 26,430 shares of the company's stock after acquiring an additional 8,515 shares during the period. Legato Capital Management LLC's holdings in MP Materials were worth $1,335,000 as of its most recent SEC filing.

A number of other large investors have also recently bought and sold shares of MP. Whittier Trust Co. of Nevada Inc. bought a new stake in shares of MP Materials during the fourth quarter worth $26,000. Financial Consulate Inc. grew its holdings in shares of MP Materials by 555.3% during the fourth quarter. Financial Consulate Inc. now owns 557 shares of the company's stock worth $28,000 after purchasing an additional 472 shares during the last quarter. Bessemer Group Inc. grew its holdings in shares of MP Materials by 75.9% during the third quarter. Bessemer Group Inc. now owns 642 shares of the company's stock worth $43,000 after purchasing an additional 277 shares during the last quarter. Montag A & Associates Inc. grew its holdings in shares of MP Materials by 106.2% during the third quarter. Montag A & Associates Inc. now owns 635 shares of the company's stock worth $43,000 after purchasing an additional 327 shares during the last quarter. Finally, Bogart Wealth LLC bought a new stake in shares of MP Materials during the fourth quarter worth $47,000. 52.55% of the stock is currently owned by institutional investors.

MP Materials Trading Down 0.1%

Shares of MP opened at $64.42 on Monday. The company has a quick ratio of 6.58, a current ratio of 7.18 and a debt-to-equity ratio of 0.47. MP Materials Corp. has a 12-month low of $18.64 and a 12-month high of $100.25. The firm has a market capitalization of $11.47 billion, a PE ratio of -153.37 and a beta of 1.90. The stock's fifty day simple moving average is $58.67 and its 200-day simple moving average is $59.18.

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

Insider Activity

In other news, CFO Ryan Corbett sold 46,000 shares of the company's stock in a transaction on Tuesday, March 17th. The stock was sold at an average price of $60.00, for a total transaction of $2,760,000.00. Following the transaction, the chief financial officer owned 129,017 shares of the company's stock, valued at $7,741,020. This represents a 26.28% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available through this link. Also, CEO James H. Litinsky sold 259,179 shares of the company's stock in a transaction on Monday, April 20th. The shares were sold at an average price of $64.03, for a total value of $16,595,231.37. Following the transaction, the chief executive officer directly owned 12,505,965 shares in the company, valued at $800,756,938.95. This trade represents a 2.03% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold 666,000 shares of company stock valued at $43,103,382 over the last 90 days. 8.20% of the stock is owned by company insiders.

Wall Street Analysts Forecast Growth

Several brokerages have recently commented on MP. Barclays began coverage on MP Materials in a report on Thursday. They set an "overweight" rating and a $69.00 target price on the stock. Deutsche Bank Aktiengesellschaft restated a "buy" rating on shares of MP Materials in a report on Tuesday, May 12th. TD Securities upgraded MP Materials to a "strong-buy" rating in a report on Monday, February 9th. Canaccord Genuity Group set a $82.00 target price on MP Materials in a report on Friday, May 8th. Finally, DA Davidson restated a "buy" rating and set a $82.00 target price on shares of MP Materials in a report on Wednesday, May 20th. Three equities research analysts have rated the stock with a Strong Buy rating, fourteen have assigned a Buy rating and one has issued a Sell rating to the company. Based on data from MarketBeat.com, MP Materials has a consensus rating of "Buy" and an average price target of $80.08.

Trending Headlines about MP Materials

Here are the key news stories impacting MP Materials this week:

• Positive Sentiment: Barclays initiated coverage of MP Materials with a Buy rating and a $69 price target, reinforcing the broader bullish Wall Street view that has most analysts rating the stock a Buy. MP Stock Stays Perfect but Trading Has Been Strange Lately
• Positive Sentiment: MP’s COO, Michael Stuart Rosenthal, disclosed the purchase of 17,000 shares, a move investors often view as a confidence signal from management. Michael Stuart Rosenthal Buys 17,000 Shares of MP Materials NYSE: MP Stock
• Neutral Sentiment: Rare-earth stocks broadly rallied on funding news and fading China fears, which supported MP alongside peers, but the move also reflected sector volatility rather than a company-specific catalyst. Rare Earth Stocks Rally On Funding News, Fading China Fears
• Neutral Sentiment: MP’s latest earnings update showed strong revenue growth and a narrower operating loss, but the company remains unprofitable, keeping investors cautious about the pace of a turnaround. MP's Operating Losses Continue in Q1: Can It Revert to Profitability?
• Negative Sentiment: A comparison piece argued that Idaho Strategic has the edge over MP Materials thanks to profitability, rising earnings, and a lower valuation, highlighting competitive and valuation concerns for MP. MP Materials vs. IDR: Which Mining Stock Has More Upside?

MP Materials Profile

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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