MP Materials (NYSE:MP) Trading Down 2.7% - Here's Why

Key Points

• MP Materials Corp.'s stock price declined by 2.7% to $66.36, with a significant trading volume drop of 75% from average levels during mid-day trading.
• Analysts have mixed views on the stock, with price targets ranging from $64.00 to $77.00, and five analysts rating it as a "Buy" while four rate it as a "Hold."
• The company's quarterly earnings report showed an 83.6% year-over-year revenue increase to $57.39 million, beating analysts' expectations, even as it reported a loss of ($0.13) EPS.

MP Materials Corp. (NYSE:MP - Get Free Report)'s stock price traded down 2.7% during mid-day trading on Thursday . The stock traded as low as $66.01 and last traded at $66.36. 2,311,258 shares were traded during trading, a decline of 75% from the average session volume of 9,242,642 shares. The stock had previously closed at $68.17.

Wall Street Analysts Forecast Growth

A number of analysts recently issued reports on the company. Canaccord Genuity Group boosted 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. Morgan Stanley set a $65.00 target price on MP Materials and gave the stock an "equal weight" rating in a report on Thursday, July 31st. Cowen restated a "buy" rating on shares of MP Materials in a report on Friday, August 8th. JPMorgan Chase & Co. upped their target price on MP Materials from $18.00 to $64.00 and gave the stock a "neutral" rating in a report on Monday, July 21st. Finally, Wall Street Zen raised MP Materials from a "sell" rating to a "hold" rating in a research report on Saturday, July 26th. Five research analysts have rated the stock with a Buy rating and four have given a Hold rating to the company. According to data from MarketBeat, the company has an average rating of "Moderate Buy" and an average target price of $60.63.

MP Materials Stock Down 3.6%

The business's fifty day moving average price is $51.89 and its 200 day moving average price is $33.55. 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 firm has a market capitalization of $11.63 billion, a PE ratio of -104.13 and a beta of 2.30.

MP Materials (NYSE:MP - Get Free Report) last announced its earnings results on Thursday, August 7th. The company reported ($0.13) EPS for the quarter, beating analysts' consensus estimates of ($0.16) by $0.03. The business had revenue of $57.39 million during the quarter, compared to analysts' expectations 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 revenue was up 83.6% compared to the same quarter last year. During the same period in the prior year, the company earned ($0.17) earnings per share. On average, equities research analysts forecast that MP Materials Corp. will post -0.19 earnings per share for the current fiscal year.

Institutional Inflows and Outflows

Large investors have recently added to or reduced their stakes in the company. Highline Wealth Partners LLC purchased a new position in MP Materials during the second quarter worth about $25,000. AdvisorNet Financial Inc increased its stake in shares of MP Materials by 168.7% during the 2nd quarter. AdvisorNet Financial Inc now owns 806 shares of the company's stock worth $27,000 after purchasing an additional 506 shares in the last quarter. NBC Securities Inc. grew its stake in MP Materials by 119,900.0% in the 1st quarter. NBC Securities Inc. now owns 1,200 shares of the company's stock worth $29,000 after acquiring an additional 1,199 shares during the period. MAI Capital Management grew its stake in MP Materials by 132.7% in the 1st quarter. MAI Capital Management now owns 1,403 shares of the company's stock worth $34,000 after acquiring an additional 800 shares during the period. Finally, Spire Wealth Management grew its stake in shares of MP Materials by 181.3% during the 2nd quarter. Spire Wealth Management now owns 1,010 shares of the company's stock valued at $34,000 after buying an additional 651 shares during the period. 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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