MP Materials (NYSE:MP) Sets New 52-Week High - Still a Buy?

Key Points

• MP Materials Corp. hit a new 52-week high at $84.14, with significant trading volume of over 22.5 million shares.
• Equities analysts hold an average rating of "Moderate Buy" for the stock, with price targets ranging from $64 to $77, reflecting positive growth expectations.
• The company's revenue increased by 83.6% year-over-year, reporting $57.39 million during the last quarter, surpassing analysts' expectations.

MP Materials Corp. (NYSE:MP - Get Free Report)'s stock price hit a new 52-week high during trading on Friday . The stock traded as high as $83.93 and last traded at $84.14, with a volume of 22507325 shares trading hands. The stock had previously closed at $72.29.

Wall Street Analysts Forecast Growth

Several equities analysts recently commented on the stock. Cfra Research raised shares of MP Materials to a "moderate buy" rating in a research note on Monday, August 11th. JPMorgan Chase & Co. increased their price objective on shares of MP Materials from $18.00 to $64.00 and gave the company a "neutral" rating in a research note on Monday, July 21st. Deutsche Bank Aktiengesellschaft raised their price target on shares of MP Materials from $20.00 to $69.00 and gave the company a "hold" rating in a research note on Thursday, July 17th. Daiwa America raised shares of MP Materials to a "strong-buy" rating in a research note on Monday, September 22nd. Finally, Canaccord Genuity Group raised their price target on shares of MP Materials from $64.00 to $77.00 and gave the company a "buy" rating in a research note on Friday, August 8th. One analyst has rated the stock with a Strong Buy rating, seven have assigned a Buy rating, four have issued a Hold rating and one has assigned a Sell rating to the company. According to data from MarketBeat, the stock presently has an average rating of "Moderate Buy" and an average price target of $74.00.

MP Materials Stock Performance

The company has a debt-to-equity ratio of 0.83, a current ratio of 3.60 and a quick ratio of 3.12. The company's 50-day moving average price is $69.62 and its two-hundred day moving average price is $44.62. The company has a market capitalization of $14.48 billion, a price-to-earnings ratio of -131.38 and a beta of 2.32.

MP Materials (NYSE:MP - Get Free Report) last posted its quarterly earnings data on Thursday, August 7th. The company reported ($0.13) earnings per share for the quarter, topping the consensus estimate of ($0.16) by $0.03. MP Materials had a negative net margin of 41.87% and a negative return on equity of 9.34%. The company had revenue of $57.39 million during the quarter, compared to analysts' expectations of $44.84 million. During the same period in the prior year, the company posted ($0.17) earnings per share. MP Materials's revenue for the quarter was up 83.6% compared to the same quarter last year. On average, equities research analysts anticipate that MP Materials Corp. will post -0.19 EPS for the current fiscal year.

Insider Buying and Selling at MP Materials

In other news, COO Michael Stuart Rosenthal sold 150,000 shares of the stock in a transaction on Friday, August 29th. The shares were sold at an average price of $72.02, for a total transaction of $10,803,000.00. Following the completion of the sale, the chief operating officer directly owned 1,284,409 shares in the company, valued at $92,503,136.18. This represents a 10.46% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available through the SEC website. 9.50% of the stock is currently owned by company insiders.

Institutional Investors Weigh In On MP Materials

Large investors have recently modified their holdings of the company. Highline Wealth Partners LLC acquired a new stake in shares of MP Materials during the second quarter worth $25,000. AdvisorNet Financial Inc grew its holdings in MP Materials by 168.7% in the second quarter. AdvisorNet Financial Inc now owns 806 shares of the company's stock worth $27,000 after purchasing an additional 506 shares during the period. NBC Securities Inc. grew its holdings in MP Materials by 119,900.0% in the first quarter. NBC Securities Inc. now owns 1,200 shares of the company's stock worth $29,000 after purchasing an additional 1,199 shares during the period. MAI Capital Management grew its holdings in MP Materials by 132.7% in the first quarter. MAI Capital Management now owns 1,403 shares of the company's stock worth $34,000 after purchasing an additional 800 shares during the period. Finally, Spire Wealth Management grew its holdings in MP Materials by 181.3% in the second quarter. Spire Wealth Management now owns 1,010 shares of the company's stock worth $34,000 after purchasing an additional 651 shares during the period. 52.55% of the stock is currently owned by institutional investors and hedge funds.

About MP Materials

MP Materials Corp., together with its subsidiaries, produces rare earth materials. The company owns and operates the Mountain Pass Rare Earth mine and processing facility in North America. It holds the mineral rights to the Mountain Pass mine and surrounding areas, as well as intellectual property rights related to the processing and development of rare earth minerals.

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