MP Materials Corp. $MP Stock Position Lowered by Northwestern Mutual Wealth Management Co.

Key Points

• Northwestern Mutual Wealth Management cut its MP Materials stake by 37.3% in the fourth quarter, selling 42,483 shares and ending with 71,475 shares valued at about $3.6 million.
• Insider activity was mixed: CEO James H. Litinsky sold 259,179 shares under a pre-arranged trading plan, while COO Michael Stuart Rosenthal bought 17,000 shares, a move often seen as a confidence signal.
• MP Materials recently posted better-than-expected quarterly results, including EPS of $0.03 and revenue of $90.65 million, but the company remains unprofitable even as analysts largely maintain Buy ratings and an average price target of $80.08.

Northwestern Mutual Wealth Management Co. lessened its position in MP Materials Corp. (NYSE:MP - Free Report) by 37.3% in the 4th quarter, according to the company in its most recent filing with the SEC. The institutional investor owned 71,475 shares of the company's stock after selling 42,483 shares during the quarter. Northwestern Mutual Wealth Management Co.'s holdings in MP Materials were worth $3,611,000 as of its most recent filing with the SEC.

Other hedge funds have also made changes to their positions in the company. Whittier Trust Co. of Nevada Inc. purchased a new stake in shares of MP Materials in the 4th quarter valued at approximately $26,000. Financial Consulate Inc. increased its stake in MP Materials by 555.3% in the 4th quarter. Financial Consulate Inc. now owns 557 shares of the company's stock valued at $28,000 after buying an additional 472 shares during the period. Montag A & Associates Inc. increased its stake in MP Materials by 106.2% in the 3rd quarter. Montag A & Associates Inc. now owns 635 shares of the company's stock valued at $43,000 after buying an additional 327 shares during the period. Bessemer Group Inc. increased its stake in MP Materials by 75.9% in the 3rd quarter. Bessemer Group Inc. now owns 642 shares of the company's stock valued at $43,000 after buying an additional 277 shares during the period. Finally, Bogart Wealth LLC acquired a new position in MP Materials in the 4th quarter valued at approximately $47,000. Hedge funds and other institutional investors own 52.55% of the company's stock.

Insider Activity at MP Materials

In related news, CEO James H. Litinsky sold 259,179 shares of the firm'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 approximately $800,756,938.95. This trade represents a 2.03% decrease in their position. The transaction was disclosed in a filing with the SEC, which is available through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, COO Michael Stuart Rosenthal bought 17,000 shares of the stock in a transaction that occurred on Wednesday, May 20th. The stock was purchased at an average price of $56.62 per share, for a total transaction of $962,540.00. Following the completion of the purchase, the chief operating officer directly owned 1,333,673 shares in the company, valued at $75,512,565.26. The trade was a 1.29% increase in their position. The disclosure for this purchase is available in the SEC filing. In the last three months, insiders have sold 666,000 shares of company stock worth $43,103,382. 8.20% of the stock is owned by insiders.

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 Stock Performance

Shares of MP opened at $64.42 on Monday. The company's fifty day moving average is $58.67 and its 200-day moving average is $59.18. MP Materials Corp. has a 12 month low of $18.64 and a 12 month high of $100.25. The firm has a market cap of $11.47 billion, a price-to-earnings ratio of -153.37 and a beta of 1.90. 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 (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. MP Materials had a negative net margin of 28.00% and a negative return on equity of 2.27%. The company 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 business posted ($0.12) EPS. MP Materials's quarterly revenue was up 49.1% on a year-over-year basis. Equities analysts expect that MP Materials Corp. will post -0.04 EPS for the current fiscal year.

Analysts Set New Price Targets

Several research analysts have weighed in on MP shares. Morgan Stanley upped their price objective on shares of MP Materials from $62.00 to $70.00 and gave the company an "overweight" rating in a research note on Monday, May 11th. TD Securities upgraded shares of MP Materials to a "strong-buy" rating in a research note on Monday, February 9th. Wedbush upped their price objective on shares of MP Materials from $90.00 to $100.00 and gave the company an "outperform" rating in a research note on Friday, May 8th. Weiss Ratings reiterated a "sell (d-)" rating on shares of MP Materials in a research note on Tuesday, April 21st. Finally, William Blair reiterated an "outperform" rating on shares of MP Materials in a research note on Wednesday, March 4th. Three investment analysts have rated the stock with a Strong Buy rating, fourteen have issued a Buy rating and one has assigned a Sell rating to the company's stock. According to MarketBeat.com, MP Materials currently has an average rating of "Buy" and a consensus price target of $80.08.

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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