MP Materials (NYSE:MP) Stock Price Up 1.2% - Here's Why

Key Points

• MP Materials' stock price increased by 1.2%, trading at $63.46 after reaching a high of $64.18, despite a significant drop in trading volume.
• Several analysts have issued positive ratings for MP Materials, with target prices raised significantly, including Deutsche Bank's upgrade to $69.00 and Jefferies' upgrade to $80.00.
• The company reported better-than-expected earnings with a revenue of $57.39 million, reflecting an 83.6% increase year-over-year, despite a negative net margin of 41.87%.

Shares of MP Materials Corp. (NYSE:MP - Get Free Report) rose 1.2% during trading on Tuesday . The company traded as high as $64.18 and last traded at $63.46. Approximately 2,848,272 shares traded hands during mid-day trading, a decline of 69% from the average daily volume of 9,227,737 shares. The stock had previously closed at $62.72.

Wall Street Analyst Weigh In

MP has been the subject of a number of recent analyst reports. Deutsche Bank Aktiengesellschaft lifted their target price on shares of MP Materials from $20.00 to $69.00 and gave the stock a "hold" rating in a research note on Thursday, July 17th. Jefferies Financial Group upgraded shares of MP Materials from a "hold" rating to a "buy" rating and set a $80.00 target price for the company in a research note on Friday, August 1st. JPMorgan Chase & Co. lifted their target price on shares of MP Materials from $18.00 to $64.00 and gave the stock a "neutral" rating in a research note on Monday, July 21st. Cfra Research upgraded shares of MP Materials to a "moderate buy" rating in a research note on Monday, August 11th. Finally, Morgan Stanley set a $65.00 target price on shares of MP Materials and gave the stock an "equal weight" rating in a research note on Thursday, July 31st. Six analysts have rated the stock with a Buy rating and four have issued a Hold rating to the company's stock. According to data from MarketBeat, MP Materials currently has a consensus rating of "Moderate Buy" and an average target price of $66.88.

MP Materials Stock Up 1.1%

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 company has a market capitalization of $11.23 billion, a PE ratio of -101.36 and a beta of 2.32. The business's 50-day simple moving average is $60.66 and its 200-day simple moving average is $37.73.

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

Insider Transactions at MP Materials

In other MP Materials news, COO Michael Stuart Rosenthal sold 150,000 shares of MP Materials 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 sale, the chief operating officer owned 1,284,409 shares of the company's stock, valued at $92,503,136.18. The trade was a 10.46% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink. 12.60% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently modified their holdings of the company. Thrivent Financial for Lutherans boosted its position in shares of MP Materials by 6.2% during the 2nd quarter. Thrivent Financial for Lutherans now owns 94,251 shares of the company's stock valued at $3,136,000 after acquiring an additional 5,541 shares during the last quarter. Newbridge Financial Services Group Inc. boosted its position in shares of MP Materials by 40.0% during the 2nd quarter. Newbridge Financial Services Group Inc. now owns 1,400 shares of the company's stock valued at $47,000 after acquiring an additional 400 shares during the last quarter. Marex Group plc acquired a new position in MP Materials in the second quarter valued at about $729,000. MRP Capital Investments LLC lifted its position in MP Materials by 44.2% in the second quarter. MRP Capital Investments LLC now owns 41,125 shares of the company's stock valued at $1,368,000 after buying an additional 12,600 shares during the last quarter. Finally, State of Wyoming acquired a new position in MP Materials in the second quarter valued at about $54,000. Institutional investors and hedge funds 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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