MP Materials (NYSE:MP) Shares Down 3.4% - What's Next?

Key Points

• MP Materials' stock fell 3.4% during mid-day trading, reaching a low of $66.08, and showed a significant drop in trading volume of 63% compared to its average session.
• Analysts have varied opinions on MP Materials, with target price upgrades from firms like JPMorgan Chase and Deutsche Bank, while the consensus rating stands at "Moderate Buy" with a target price of around $60.63.
• The company's quarterly revenue rose 83.6% year-over-year despite reporting a negative earnings per share of ($0.13), surpassing analyst estimates for the period.

MP Materials Corp. (NYSE:MP - Get Free Report)'s stock price traded down 3.4% during mid-day trading on Wednesday . The company traded as low as $66.08 and last traded at $66.95. 3,411,594 shares were traded during trading, a decline of 63% from the average session volume of 9,252,670 shares. The stock had previously closed at $69.29.

Analysts Set New Price Targets

MP has been the topic of several research reports. Cowen reiterated a "buy" rating on shares of MP Materials in a research report on Friday, August 8th. Robert W. Baird increased their target price 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 upgraded shares of MP Materials from a "sell" rating to a "hold" rating in a report on Saturday, July 26th. 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 research analysts have rated the stock with a Buy rating and four have assigned a Hold rating to the stock. According to MarketBeat, the company has an average rating of "Moderate Buy" and an average target price of $60.63.

MP Materials Price Performance

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 stock has a 50-day simple moving average of $53.43 and a 200 day simple moving average of $34.24. The stock has a market capitalization of $12.04 billion, a price-to-earnings ratio of -107.88 and a beta of 2.30.

MP Materials (NYSE:MP - Get Free Report) last posted its quarterly earnings results 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 analysts' expectations of $44.84 million. During the same period last year, the company posted ($0.17) earnings per share. The firm's quarterly revenue was up 83.6% compared to the same quarter last year. On average, equities research analysts forecast that MP Materials Corp. will post -0.19 EPS for the current fiscal year.

Hedge Funds Weigh In On MP Materials

Institutional investors and hedge funds have recently modified their holdings of the stock. GAMMA Investing LLC grew its holdings in shares of 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 in the last quarter. Charles Schwab Investment Management Inc. boosted its stake in shares of MP Materials by 1.2% during the 1st quarter. Charles Schwab Investment Management Inc. now owns 1,093,057 shares of the company's stock worth $26,682,000 after acquiring an additional 13,389 shares in the last quarter. Allspring Global Investments Holdings LLC acquired a new stake in MP Materials in the 1st quarter worth approximately $213,000. LPL Financial LLC lifted its holdings in MP Materials by 5.0% in the 1st quarter. LPL Financial LLC now owns 132,796 shares of the company's stock worth $3,242,000 after purchasing an additional 6,361 shares during the last quarter. Finally, Illinois Municipal Retirement Fund acquired a new stake in MP Materials in the 1st quarter worth approximately $1,460,000. 52.55% of the stock is currently owned by hedge funds and other institutional investors.

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.