MP Materials (NYSE:MP) Stock Price Down 3.9% - Time to Sell?

Key Points

• MP Materials' stock price fell by 3.9%, trading between $78.80 and $80.55, with a significant 40% increase in trading volume compared to its average.
• Analysts have mixed ratings for MP Materials, with one Strong Buy, eight Buys, four Holds, and one Sell, while the average target price is set at $77.80.
• In its last earnings report, MP Materials' revenue rose by 83.6% year-over-year to $57.39 million, exceeding analyst expectations despite a negative EPS of ($0.13).

MP Materials Corp. (NYSE:MP - Get Free Report)'s share price dropped 3.9% during mid-day trading on Friday . The company traded as low as $78.80 and last traded at $80.55. Approximately 14,804,809 shares changed hands during mid-day trading, an increase of 40% from the average daily volume of 10,550,419 shares. The stock had previously closed at $83.84.

Analyst Ratings Changes

MP has been the subject of a number of research reports. Robert W. Baird upped their price objective on shares of MP Materials from $52.00 to $69.00 and gave the company an "outperform" rating in a research note on Wednesday, July 23rd. Wall Street Zen raised shares of MP Materials from a "sell" rating to a "hold" rating in a research note on Saturday, July 26th. Cowen reaffirmed a "buy" rating on shares of MP Materials in a research note on Friday, August 8th. Deutsche Bank Aktiengesellschaft increased their price target on shares of MP Materials from $20.00 to $69.00 and gave the company a "hold" rating in a research report on Thursday, July 17th. Finally, BMO Capital Markets initiated coverage on shares of MP Materials in a research report on Thursday, October 9th. They set a "market perform" rating and a $76.00 price target for the company. One analyst has rated the stock with a Strong Buy rating, eight have assigned a Buy rating, four have assigned a Hold rating and one has issued a Sell rating to the company. According to MarketBeat.com, MP Materials has an average rating of "Moderate Buy" and a consensus target price of $77.80.

MP Materials Stock Down 3.9%

The company has a current ratio of 3.60, a quick ratio of 3.12 and a debt-to-equity ratio of 0.83. The firm has a market capitalization of $14.27 billion, a P/E ratio of -127.86 and a beta of 2.32. The company's fifty day simple moving average is $71.81 and its 200 day simple moving average is $46.81.

MP Materials (NYSE:MP - Get Free Report) last issued 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 net margin of 41.87% and a negative return on equity of 9.34%. The business had revenue of $57.39 million during the quarter, compared to analyst estimates of $44.84 million. During the same period in the prior year, the business earned ($0.17) EPS. The company's revenue for the quarter was up 83.6% on a year-over-year basis. Research analysts expect that MP Materials Corp. will post -0.19 EPS for the current year.

Insider Buying and Selling

In other MP Materials news, COO Michael Stuart Rosenthal sold 150,000 shares of the company's stock in a transaction on Friday, August 29th. The shares were sold at an average price of $72.02, for a total value of $10,803,000.00. Following the completion of the transaction, the chief operating officer directly owned 1,284,409 shares in the company, valued at approximately $92,503,136.18. This represents a 10.46% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. Company insiders own 9.50% of the company's stock.

Institutional Inflows and Outflows

A number of large investors have recently bought and sold shares of MP. GAMMA Investing LLC lifted its position in MP Materials by 52.3% during the 1st quarter. GAMMA Investing LLC now owns 5,750 shares of the company's stock valued at $140,000 after acquiring an additional 1,975 shares during the period. Wealth Enhancement Advisory Services LLC lifted its position in MP Materials by 22.5% during the 1st quarter. Wealth Enhancement Advisory Services LLC now owns 12,597 shares of the company's stock valued at $307,000 after acquiring an additional 2,316 shares during the period. CENTRAL TRUST Co lifted its position in MP Materials by 20.6% during the 1st quarter. CENTRAL TRUST Co now owns 3,965 shares of the company's stock valued at $97,000 after acquiring an additional 678 shares during the period. Advisor Resource Council purchased a new position in MP Materials during the 1st quarter valued at about $1,018,000. Finally, Canton Hathaway LLC purchased a new position in MP Materials during the 1st quarter valued at about $347,000. 52.55% of the stock is owned by hedge funds and other institutional investors.

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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