MP Materials (NYSE:MP) Shares Down 1.2% - Should You Sell?

Key Points

• MP Materials Corp. shares decreased by 1.2% on Friday, trading between $71.61 and $72.61, with a significant drop in trading volume, down 72% from average levels.
• Several analysts have upgraded MP's stock ratings, with five analysts rating it as a Buy and four as a Hold, reflecting a consensus target price of $60.63.
• The company's quarterly earnings report showed a revenue increase of 83.6% year-over-year, with earnings per share beating expectations at ($0.13), surpassing the consensus estimate of ($0.16).

MP Materials Corp. (NYSE:MP - Get Free Report)'s share price was down 1.2% during trading on Friday . The stock traded as low as $71.61 and last traded at $72.61. Approximately 2,577,323 shares traded hands during mid-day trading, a decline of 72% from the average daily volume of 9,275,932 shares. The stock had previously closed at $73.50.

Wall Street Analyst Weigh In

Several equities research analysts have commented on MP shares. Wall Street Zen raised MP Materials from a "sell" rating to a "hold" rating in a report on Saturday, July 26th. Robert W. Baird upped their price target on MP Materials from $52.00 to $69.00 and gave the company an "outperform" rating in a report on Wednesday, July 23rd. Canaccord Genuity Group upped their price target on MP Materials from $64.00 to $77.00 and gave the company a "buy" rating in a report on Friday, August 8th. Deutsche Bank Aktiengesellschaft upped their price target on MP Materials from $20.00 to $69.00 and gave the company a "hold" rating in a report on Thursday, July 17th. Finally, Cfra Research raised MP Materials to a "moderate buy" rating in a report on Monday, August 11th. Five equities research analysts have rated the stock with a Buy rating and four have assigned a Hold rating to the stock. According to MarketBeat.com, MP Materials has a consensus rating of "Moderate Buy" and a consensus target price of $60.63.

MP Materials Price Performance

The firm has a 50 day moving average price of $56.28 and a 200 day moving average price of $35.48. The company has a quick ratio of 3.12, a current ratio of 3.60 and a debt-to-equity ratio of 0.83. The stock has a market cap of $12.71 billion, a P/E ratio of -114.03 and a beta of 2.30.

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

Institutional Trading of MP Materials

Several institutional investors have recently made changes to their positions in MP. Envestnet Asset Management Inc. lifted its stake in shares of MP Materials by 3.3% in the 4th quarter. Envestnet Asset Management Inc. now owns 20,650 shares of the company's stock valued at $322,000 after purchasing an additional 662 shares during the last quarter. Barclays PLC boosted its holdings in shares of MP Materials by 150.2% in the 4th quarter. Barclays PLC now owns 121,392 shares of the company's stock worth $1,895,000 after purchasing an additional 72,868 shares during the period. Dimensional Fund Advisors LP boosted its holdings in shares of MP Materials by 8.7% in the 4th quarter. Dimensional Fund Advisors LP now owns 2,207,017 shares of the company's stock worth $34,433,000 after purchasing an additional 176,121 shares during the period. State of Tennessee Department of Treasury boosted its holdings in shares of MP Materials by 4,671.2% in the 4th quarter. State of Tennessee Department of Treasury now owns 29,677 shares of the company's stock worth $463,000 after purchasing an additional 29,055 shares during the period. Finally, Stifel Financial Corp boosted its holdings in shares of MP Materials by 7.6% in the 4th quarter. Stifel Financial Corp now owns 202,215 shares of the company's stock worth $3,155,000 after purchasing an additional 14,311 shares during the period. Hedge funds and other institutional investors own 52.55% of the company's stock.

MP Materials Company Profile

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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