MP Materials (NYSE:MP) Trading 21.3% Higher - What's Next?

Key Points

• MP Materials' stock price surged 21.3% to a high of $98.97 during mid-day trading, significantly surpassing its previous close of $78.34.
• Several analysts have upgraded the stock's target price, with a consensus target of $74.00 and ratings ranging from "Strong Buy" to "Sell."
• MP Materials reported a revenue increase of 83.6% year-over-year and exceeded earnings expectations, posting a quarterly EPS of ($0.13) against forecasts of ($0.16).

MP Materials Corp. (NYSE:MP - Get Free Report)'s share price traded up 21.3% during mid-day trading on Monday . The stock traded as high as $98.97 and last traded at $95.03. 49,437,142 shares were traded during mid-day trading, an increase of 383% from the average session volume of 10,230,032 shares. The stock had previously closed at $78.34.

Wall Street Analyst Weigh In

Several research analysts have issued reports on the stock. Benchmark reaffirmed a "buy" rating on shares of MP Materials in a report on Friday, August 29th. Robert W. Baird lifted their target price on shares of MP Materials from $52.00 to $69.00 and gave the stock an "outperform" rating in a report on Wednesday, July 23rd. 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 report on Monday, July 21st. Cfra Research raised shares of MP Materials to a "moderate buy" rating in a report on Monday, August 11th. Finally, Canaccord Genuity Group lifted their price target on shares of MP Materials from $64.00 to $77.00 and gave the stock a "buy" rating in a research note on Friday, August 8th. One research analyst has rated the stock with a Strong Buy rating, seven have assigned a Buy rating, four have assigned a Hold rating and one has assigned a Sell rating to the stock. According to MarketBeat, MP Materials presently has an average rating of "Moderate Buy" and a consensus target price of $74.00.

MP Materials Price Performance

The business's 50 day moving average price is $69.91 and its 200 day moving average price is $45.24. The stock has a market capitalization of $16.83 billion, a P/E ratio of -150.84 and a beta of 2.32. The company has a debt-to-equity ratio of 0.83, a current ratio of 3.60 and a quick ratio of 3.12.

MP Materials (NYSE:MP - Get Free Report) last announced its quarterly earnings results on Thursday, August 7th. The company reported ($0.13) EPS for the quarter, topping analysts' consensus estimates 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 firm had revenue of $57.39 million during the quarter, compared to analyst estimates of $44.84 million. During the same period in the previous year, the business posted ($0.17) earnings per share. The business's revenue for the quarter was up 83.6% on a year-over-year basis. Sell-side analysts forecast that MP Materials Corp. will post -0.19 EPS for the current year.

Insider Transactions at MP Materials

In related news, COO Michael Stuart Rosenthal sold 150,000 shares of the business's stock in a transaction that occurred 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 approximately $92,503,136.18. The trade was a 10.46% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which can be accessed through the SEC website. Company insiders own 9.50% of the company's stock.

Institutional Trading of MP Materials

Large investors have recently added to or reduced their stakes in the business. Sound Income Strategies LLC grew its position in MP Materials by 420.0% during the third quarter. Sound Income Strategies LLC now owns 364 shares of the company's stock valued at $26,000 after buying an additional 294 shares during the period. Grove Bank & Trust bought a new stake in MP Materials during the third quarter valued at approximately $34,000. Hilltop National Bank grew its position in MP Materials by 500.0% during the third quarter. Hilltop National Bank now owns 600 shares of the company's stock valued at $40,000 after buying an additional 500 shares during the period. Highline Wealth Partners LLC bought a new stake in MP Materials during the second quarter valued at approximately $25,000. Finally, AdvisorNet Financial Inc grew its position in MP Materials by 168.7% during the second quarter. AdvisorNet Financial Inc now owns 806 shares of the company's stock valued at $27,000 after buying an additional 506 shares during the period. 52.55% of the stock is currently owned by 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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