MP Materials (NYSE:MP) Trading Up 4.3% - Still a Buy?

Key Points

• MP Materials' stock increased by 4.3%, trading at $74.57 with a volume of approximately 10.57 million shares, showing a 9% rise from its average daily volume.
• Analysts have a largely positive outlook on the company, with one strong buy, seven buy, four hold, and one sell rating, alongside a consensus target price of $68.33.
• In its latest quarterly earnings, MP Materials reported revenue growth of 83.6% year-over-year, exceeding expectations and showing a beat on earnings per share.

MP Materials Corp. (NYSE:MP - Get Free Report)'s stock price was up 4.3% during trading on Monday . The company traded as high as $74.93 and last traded at $74.57. Approximately 10,573,939 shares traded hands during trading, an increase of 9% from the average daily volume of 9,690,905 shares. The stock had previously closed at $71.50.

Wall Street Analyst Weigh In

Several equities research analysts recently issued reports on MP shares. Wall Street Zen upgraded MP Materials from a "sell" rating to a "hold" rating in a report on Saturday, July 26th. Cfra Research upgraded shares of MP Materials to a "moderate buy" rating in a research note on Monday, August 11th. Benchmark reissued a "buy" rating on shares of MP Materials in a research note on Friday, August 29th. Daiwa America upgraded shares of MP Materials to a "strong-buy" rating in a report on Monday, September 22nd. Finally, JPMorgan Chase & Co. upped 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. One research analyst has rated the stock with a Strong Buy rating, seven have given a Buy rating, four have given a Hold rating and one has issued a Sell rating to the company. Based on data from MarketBeat, MP Materials has an average rating of "Moderate Buy" and a consensus target price of $68.33.

MP Materials Trading Up 4.3%

The company's fifty day moving average is $68.93 and its two-hundred day moving average is $43.92. 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 stock has a market cap of $13.21 billion, a price-to-earnings ratio of -118.37 and a beta of 2.32.

MP Materials (NYSE:MP - Get Free Report) last announced its quarterly earnings data on Thursday, August 7th. The company reported ($0.13) earnings per share 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 business had revenue of $57.39 million for the quarter, compared to analyst estimates of $44.84 million. During the same period last year, the business earned ($0.17) EPS. The company's revenue was up 83.6% on a year-over-year basis. On average, research analysts predict 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 the stock in a transaction that occurred on 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 transaction, the chief operating officer directly owned 1,284,409 shares in the company, valued at $92,503,136.18. This represents a 10.46% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. 12.60% of the stock is owned by company insiders.

Hedge Funds Weigh In On MP Materials

A number of hedge funds and other institutional investors have recently made changes to their positions in MP. Cresset Asset Management LLC lifted its position in MP Materials by 1.0% during the 2nd quarter. Cresset Asset Management LLC now owns 21,444 shares of the company's stock worth $713,000 after acquiring an additional 204 shares during the period. Harbour Investments Inc. raised its stake in shares of MP Materials by 32.9% during the second quarter. Harbour Investments Inc. now owns 1,220 shares of the company's stock worth $41,000 after purchasing an additional 302 shares during the last quarter. Wealth Enhancement Advisory Services LLC raised its stake in shares of MP Materials by 2.8% during the second quarter. Wealth Enhancement Advisory Services LLC now owns 12,955 shares of the company's stock worth $412,000 after purchasing an additional 358 shares during the last quarter. Newbridge Financial Services Group Inc. lifted its holdings in shares of MP Materials by 40.0% during the second quarter. Newbridge Financial Services Group Inc. now owns 1,400 shares of the company's stock worth $47,000 after purchasing an additional 400 shares during the period. Finally, Vanguard Personalized Indexing Management LLC grew its position in MP Materials by 3.8% in the 2nd quarter. Vanguard Personalized Indexing Management LLC now owns 12,400 shares of the company's stock valued at $413,000 after buying an additional 458 shares during the last quarter. Hedge funds and other institutional investors own 52.55% of the company's stock.

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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