Wedbush Upgrades MP Materials (NYSE:MP) to "Strong-Buy"

Key Points

• Wedbush upgraded MP Materials to a "Strong‑Buy" and assigned a $90 target, highlighting MP as the leading integrated U.S. rare‑earth producer set to benefit from government efforts to onshore critical‑mineral supply chains.
• MP’s latest quarter showed an EPS beat ($0.09 vs. $0.02) but revenue missed ($52.7M vs. $76.1M) and the company reported a negative net margin of about 38%, with the stock trading around $66 and a consensus analyst price target near $79.08.
• Insiders have been selling recently—CEO James Litinsky sold 259,179 shares (≈$16.6M) under a Rule 10b5‑1 plan and insiders sold about 346,000 shares (~$22M) in the last three months, while insiders still own roughly 12.6% of the company.

MP Materials (NYSE:MP - Get Free Report) was upgraded by Wedbush to a "strong-buy" rating in a report released on Monday, Marketbeat reports.

MP has been the topic of a number of other research reports. Weiss Ratings reissued a "sell (d-)" rating on shares of MP Materials in a research report on Thursday, January 22nd. TD Securities raised MP Materials to a "strong-buy" rating in a research report on Monday, February 9th. DA Davidson reissued a "buy" rating and issued a $82.00 target price on shares of MP Materials in a research report on Wednesday, March 11th. William Blair reissued an "outperform" rating on shares of MP Materials in a research report on Wednesday, March 4th. Finally, Morgan Stanley dropped their target price on MP Materials from $71.00 to $62.00 and set an "overweight" rating on the stock in a research report on Thursday, April 9th. Three analysts have rated the stock with a Strong Buy rating, thirteen have issued a Buy rating and one has issued a Sell rating to the stock. According to data from MarketBeat.com, MP Materials currently has a consensus rating of "Buy" and an average price target of $79.08.

MP Materials Trading Up 8.6%

NYSE:MP opened at $66.24 on Monday. MP Materials has a fifty-two week low of $18.64 and a fifty-two week high of $100.25. The company has a debt-to-equity ratio of 0.47, a current ratio of 7.24 and a quick ratio of 6.67. The stock has a market capitalization of $11.77 billion, a PE ratio of -127.38 and a beta of 1.67. The business's 50-day simple moving average is $56.70 and its 200-day simple moving average is $60.82.

MP Materials (NYSE:MP - Get Free Report) last released its quarterly earnings data on Thursday, February 26th. The company reported $0.09 earnings per share for the quarter, beating the consensus estimate of $0.02 by $0.07. MP Materials had a negative return on equity of 4.28% and a negative net margin of 38.26%.The business had revenue of $52.69 million for the quarter, compared to analysts' expectations of $76.06 million. During the same quarter in the previous year, the business posted ($0.12) EPS. MP Materials's revenue for the quarter was down 13.6% on a year-over-year basis. Sell-side analysts expect that MP Materials will post 0.08 earnings per share for the current fiscal year.

Insider Buying and Selling

In related news, CEO James H. Litinsky sold 259,179 shares of MP Materials stock in a transaction that occurred on Monday, April 20th. The stock was sold at an average price of $64.03, for a total value of $16,595,231.37. Following the sale, the chief executive officer owned 12,505,965 shares of the company's stock, valued at approximately $800,756,938.95. This trade represents a 2.03% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO Ryan Corbett sold 46,000 shares of the business's stock in a transaction that occurred on Tuesday, March 17th. The stock was sold at an average price of $60.00, for a total value of $2,760,000.00. Following the transaction, the chief financial officer directly owned 129,017 shares in the company, valued at $7,741,020. This trade represents a 26.28% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. In the last three months, insiders sold 346,000 shares of company stock worth $21,969,816. 12.60% of the stock is owned by insiders.

Institutional Inflows and Outflows

Institutional investors have recently made changes to their positions in the stock. Sound Income Strategies LLC increased its position in shares of MP Materials by 420.0% during the 3rd quarter. Sound Income Strategies LLC now owns 364 shares of the company's stock worth $26,000 after purchasing an additional 294 shares during the last quarter. EMC Capital Management acquired a new position in shares of MP Materials during the 4th quarter worth approximately $25,000. Whittier Trust Co. of Nevada Inc. acquired a new position in shares of MP Materials during the 4th quarter worth approximately $26,000. REAP Financial Group LLC acquired a new position in shares of MP Materials during the 4th quarter worth approximately $26,000. Finally, Los Angeles Capital Management LLC acquired a new position in shares of MP Materials during the 4th quarter worth approximately $28,000. Institutional investors and hedge funds own 52.55% of the company's stock.

MP Materials News Roundup

Here are the key news stories impacting MP Materials this week:

• Positive Sentiment: Wedbush initiated coverage with an Outperform and a $90 target, framing MP as the leading integrated U.S. rare‑earth producer benefiting from Washington’s push to onshore critical‑mineral supply chains. Wedbush Projects $90 for MP Materials
• Positive Sentiment: Analyst/upgrades narrative: Seeking Alpha and other notes argue MP’s profile shifts from cyclical miner to more stable operator because of U.S. government deals and planned domestic processing/manufacturing ramp, which could lift margins and earnings from 2026 onward. MP Materials: Some Reasons For Optimism Ahead Of Earnings (Upgrade)
• Neutral Sentiment: Sector M&A and supply‑chain deals (notably a large USAR acquisition) are lifting rare‑earth names, giving MP positive momentum via sector re‑rating even though the transactions are indirect for MP. Rare Earth Trade Is Back: USAR, MP Stocks Climb
• Negative Sentiment: CEO James H. Litinsky sold shares in two transactions this week (259,179 shares on Apr. 20 at ~$64.03 and 40,821 shares on Apr. 17 at ~$64.05), totaling roughly $19M; the sales were executed under a pre‑arranged Rule 10b5‑1 plan but represent a modest reduction in his stake (about 2.03% in the larger sale). SEC Filing

About MP Materials

MP Materials Corporation operates as a vertically integrated producer of rare earth materials in North America. The company owns and manages the Mountain Pass Rare Earth Mine and Processing Facility in California, the only commercially viable rare earth mining and processing site in the United States. MP Materials extracts, separates and refines critical rare earth elements—such as neodymium, praseodymium, and cerium—which are essential inputs for permanent magnets used in electric vehicles, wind turbines, and various defense applications.

The Mountain Pass mine first began commercial rare earth production in the 1950s and was later operated by Molycorp until its bankruptcy in 2015.

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