MP Materials (NYSE:MP) Stock Price Up 4.3% - Here's What Happened

Key Points

• MP Materials shares rose 4.3% intraday to about $47.36, with roughly 6.03 million shares traded—slightly below average volume.
• Analyst sentiment remains broadly positive: 13 analysts rate the stock a Buy, with a consensus “Moderate Buy” rating and an average price target of $76.29, despite some target-price reductions and two Sell ratings.
• The company’s latest quarterly results showed revenue of $108.49 million, up 89% year over year and above estimates, while it met expectations with an adjusted loss of $0.01 per share. MP is also expanding from rare-earth mining into element separation and NdFeB magnet manufacturing.

MP Materials Corp. (NYSE:MP - Get Free Report) was up 4.3% during mid-day trading on Wednesday. The stock traded as high as $48.67 and last traded at $47.3610. 6,034,286 shares changed hands during mid-day trading, a decline of 7% from the average daily volume of 6,463,722 shares. The stock had previously closed at $45.43.

Wall Street Analysts Forecast Growth

A number of research firms have commented on MP. Weiss Ratings reaffirmed a "sell (d-)" rating on shares of MP Materials in a research report on Friday, July 17th. DA Davidson restated a "buy" rating and set a $82.00 target price on shares of MP Materials in a report on Monday, August 24th. Jefferies Financial Group reaffirmed a "buy" rating on shares of MP Materials in a research note on Tuesday, September 8th. Morgan Stanley reiterated an "overweight" rating on shares of MP Materials in a report on Wednesday, August 19th. Finally, JPMorgan Chase & Co. reduced their price objective on shares of MP Materials from $75.00 to $60.00 and set an "overweight" rating on the stock in a research report on Wednesday, July 29th. One equities research analyst has rated the stock with a Strong Buy rating, thirteen have issued a Buy rating, one has issued a Hold rating and two have issued a Sell rating to the stock. According to MarketBeat, MP Materials currently has a consensus rating of "Moderate Buy" and a consensus target price of $76.29.

MP Materials Price Performance

The stock has a market cap of $8.44 billion, a P/E ratio of -139.29 and a beta of 1.94. The company has a debt-to-equity ratio of 0.48, a quick ratio of 8.56 and a current ratio of 9.51. The firm has a 50-day moving average price of $51.12 and a 200-day moving average price of $55.50.

MP Materials (NYSE:MP - Get Free Report) last released its quarterly earnings results on Thursday, August 6th. The company reported ($0.01) earnings per share for the quarter, meeting the consensus estimate of ($0.01). The company had revenue of $108.49 million for the quarter, compared to analyst estimates of $96.89 million. MP Materials had a negative return on equity of 1.21% and a negative net margin of 19.85%.The firm's revenue was up 89.0% on a year-over-year basis. During the same period in the previous year, the company posted ($0.13) earnings per share. On average, analysts forecast that MP Materials Corp. will post -0.12 earnings per share for the current fiscal year.

Institutional Inflows and Outflows

Large investors have recently bought and sold shares of the business. EMC Capital Management purchased a new stake in MP Materials in the fourth quarter worth about $25,000. REAP Financial Group LLC purchased a new position in shares of MP Materials during the fourth quarter valued at approximately $26,000. Toth Financial Advisory Corp boosted its position in shares of MP Materials by 73.3% in the 2nd quarter. Toth Financial Advisory Corp now owns 520 shares of the company's stock worth $29,000 after purchasing an additional 220 shares in the last quarter. University of Texas Texas AM Investment Management Co. bought a new stake in shares of MP Materials in the 4th quarter worth approximately $36,000. Finally, Markowski Investments purchased a new stake in shares of MP Materials in the 2nd quarter worth approximately $43,000. 52.55% of the stock is owned by hedge funds and other institutional investors.

About MP Materials

MP Materials Corp. is a rare earth materials company that owns and operates the Mountain Pass Rare Earth Mine and processing facility in California. The site produces rare earth concentrate, with a focus on neodymium-praseodymium (NdPr), materials used in high-strength permanent magnets.

The company is expanding its operations beyond mining and concentrate production by developing domestic capabilities to separate rare earth elements and manufacture neodymium-iron-boron (NdFeB) magnets.

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