MP Materials (NYSE:MP) Trading Up 1.9% - Still a Buy?

Key Points

• MP Materials Corp. saw a 1.9% increase in its stock price, trading at $74.59 with over 13 million shares exchanged, indicating a strong interest from investors.
• Analysts have generally rated MP Materials positively, with seven analysts recommending to buy and a consensus price target of $68.33, reflecting confidence in the company's future performance.
• Despite recording a net loss, MP Materials reported a significant revenue increase of 83.6% year-over-year, indicating strong growth potential in their business operations.

MP Materials Corp. (NYSE:MP - Get Free Report) rose 1.9% during mid-day trading on Tuesday . The company traded as high as $76.69 and last traded at $74.59. Approximately 13,431,048 shares traded hands during mid-day trading, an increase of 42% from the average daily volume of 9,474,559 shares. The stock had previously closed at $73.22.

Analyst Upgrades and Downgrades

A number of research firms recently weighed in on MP. Benchmark restated a "buy" rating on shares of MP Materials in a research note on Friday, August 29th. Jefferies Financial Group upgraded MP Materials from a "hold" rating to a "buy" rating and set a $80.00 price objective on the stock in a research report on Friday, August 1st. JPMorgan Chase & Co. increased their target price on MP Materials from $18.00 to $64.00 and gave the stock a "neutral" rating in a research report on Monday, July 21st. Cfra Research raised MP Materials to a "moderate buy" rating in a research note on Monday, August 11th. Finally, Robert W. Baird upped their price target on MP Materials from $52.00 to $69.00 and gave the stock an "outperform" rating in a research note on Wednesday, July 23rd. Seven equities research analysts have rated the stock with a Buy rating and four have assigned a Hold rating to the company. Based on data from MarketBeat, the company presently has a consensus rating of "Moderate Buy" and an average price target of $68.33.

MP Materials Trading Up 1.9%

The company has a debt-to-equity ratio of 0.83, a quick ratio of 3.12 and a current ratio of 3.60. The stock's fifty day moving average is $66.89 and its 200 day moving average is $40.74. The stock has a market cap of $13.21 billion, a P/E ratio of -118.39 and a beta of 2.32.

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, beating 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 the consensus estimate of $44.84 million. During the same quarter last year, the firm earned ($0.17) EPS. The firm's revenue for the quarter was up 83.6% compared to the same quarter last year. As a group, equities research analysts predict that MP Materials Corp. will post -0.19 earnings per share for the current fiscal year.

Insiders Place Their Bets

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

Hedge Funds Weigh In On MP Materials

A number of institutional investors have recently modified their holdings of the stock. Vanguard Group Inc. increased its position in shares of MP Materials by 7.4% during the first quarter. Vanguard Group Inc. now owns 13,662,567 shares of the company's stock worth $333,503,000 after acquiring an additional 942,105 shares during the period. Caxton Associates LLP acquired a new stake in MP Materials in the second quarter valued at approximately $132,238,000. Invesco Ltd. boosted its stake in MP Materials by 14.3% in the second quarter. Invesco Ltd. now owns 3,033,612 shares of the company's stock valued at $100,928,000 after acquiring an additional 378,510 shares in the last quarter. BNP Paribas Financial Markets lifted its stake in shares of MP Materials by 76.3% during the second quarter. BNP Paribas Financial Markets now owns 2,921,542 shares of the company's stock worth $97,200,000 after buying an additional 1,264,243 shares during the period. Finally, National Bank of Canada FI lifted its stake in shares of MP Materials by 19,314.3% during the second quarter. National Bank of Canada FI now owns 2,013,462 shares of the company's stock worth $66,987,000 after buying an additional 2,003,091 shares during the period. 52.55% of the stock is 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.

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