Free Trial

3 Rare Earth Stocks Powering America’s Critical Minerals Boom

3 Rare Earth Stocks Powering America’s Critical Minerals Boom

Key Points

  • Rare Earth Elements (REEs) are essential to modern technology, powering everything from EVs and wind turbines to AI and defense systems.
  • China’s dominance over nearly 90% of global REE processing has turned rare earths into a geopolitical flashpoint, prompting the U.S. and allies to invest heavily in rebuilding domestic supply chains.
  • Leading industry stocks like MP Materials, Lithium Americas, and Critical Metals Corp. have surged, driven by government backing and growing emphasis on resource independence.
  • Interested in Lithium Americas? Here are five stocks we like better.

Rare Earth Elements (REEs) are not entirely as rare as their name suggests. This group of 17 metals is found across the globe. What makes them special isn’t their scarcity, but their complexity: REEs usually occur together in mineral deposits, making their separation and refinement both technically demanding and expensive.

Despite their obscure names, these elements have become indispensable to modern life. They enable the magnets, catalysts, and phosphors that power smartphones, electric vehicles, medical imaging devices, and even advanced defense systems. Their unique magnetic and conductive properties make them the invisible backbone of 21st-century innovation,  from clean energy to artificial intelligence and robotics.

Why REEs Are Suddenly in the Spotlight

As the global economy continues to shift toward electrification and decarbonization, demand for REEs has surged. They are essential to building high-performance permanent magnets used in EV motors, wind turbines, and hydrogen fuel cells,  technologies at the heart of the clean energy transition.

At the same time, REEs are critical to the defense and AI sectors. Advanced missiles, fighter jets, and guidance systems depend on rare earth magnets for thermal stability and precision. Robotics, automation, and machine learning infrastructure also rely on REE-enabled sensors and motors for accuracy, efficiency, and speed. In short, rare earths are as vital to the next generation of intelligent machines as oil once was to industrial growth.

And that’s where China comes in. China currently dominates the rare earth industry, producing almost 60% of global REE supply and controlling nearly 90% of the world’s processing capacity. This monopoly gives Beijing enormous leverage over key global industries. As geopolitical tensions between the U.S. and China intensify, rare earths have emerged as both a strategic vulnerability and a national priority for Western governments.

In response, the U.S. and its allies are racing to rebuild domestic supply chains, from mining to refining, to reduce dependency on China. The result has been a massive wave of investment and soaring momentum in rare earth and critical mineral stocks.

Below are three leading REE names that have captured the attention of both institutions and the U.S. government in 2025.

MP Materials: America’s REE Powerhouse

MP Materials Today

MP Materials Corp. stock logo
MPMP 90-day performance
MP Materials
$86.63 -3.22 (-3.58%)
As of 11:06 AM Eastern
This is a fair market value price provided by Polygon.io. Learn more.
52-Week Range
$15.56
$100.25
Price Target
$77.80

MP Materials NYSE: MP has become the face of the U.S. rare earth resurgence. The company operates the Mountain Pass mine in California, the only active REE mine in North America, and is the largest producer of rare-earth materials in the Western Hemisphere. It primarily produces neodymium and praseodymium oxides, key ingredients for high-performance magnets used in EVs, drones, and F-35 fighter jets.

MP’s stock has skyrocketed over 500% year-to-date, fueled by renewed government support and trade tensions. After China restricted rare earth exports earlier this year, the U.S. Defense Department and the Trump administration quickly announced an investment in MP to secure a long-term domestic supply. With strong geopolitical backing and surging demand from clean energy and defense, MP Materials is firmly positioned at the center of America’s critical minerals strategy.

Lithium Americas: Securing the Future of U.S. Lithium

Lithium Americas Today

Lithium Americas Corp. stock logo
LACLAC 90-day performance
Lithium Americas
$7.74 -1.70 (-18.03%)
As of 11:06 AM Eastern
This is a fair market value price provided by Polygon.io. Learn more.
52-Week Range
$2.31
$10.52
Price Target
$5.30

While best known for its lithium focus, Lithium Americas Corp. NYSE: LAC is a vital piece of the U.S. critical materials landscape. Its Thacker Pass project in Nevada represents one of the largest known lithium deposits in North America,  and it’s drawing powerful allies.

Two weeks ago, the U.S. Department of Energy took a 5% stake in both Lithium Americas and its Thacker Pass joint venture with General Motors, signaling Washington’s commitment to securing domestic lithium supply.

The stock has surged 183% year-to-date, reflecting investor enthusiasm around its strategic importance. As EV demand accelerates and the U.S. moves to onshore battery production, Lithium Americas is emerging as a cornerstone in the country’s energy independence push.

Critical Metals Corp.: A Rising Force in Strategic Mining

Critical Metals Today

Critical Metals Corp. stock logo
CRMLCRML 90-day performance
Critical Metals
$23.31 +0.59 (+2.60%)
As of 11:06 AM Eastern
This is a fair market value price provided by Polygon.io. Learn more.
52-Week Range
$1.23
$32.15

Critical Metals Corp. NASDAQ: CRML has quickly gained recognition as one of the sector’s fastest-growing names. The company focuses on mining, exploration, and development of lithium and other critical minerals through its Wolfsberg and Tanbreez projects.

Its shares have climbed over 240% this year, driven by growing investor appetite for diversified exposure to the rare earth and battery metals market.

With assets spanning key regions and growing attention from both retail and institutional investors, Critical Metals stands to benefit from the accelerating global shift toward resource security and sustainable development.

Should You Invest $1,000 in Lithium Americas Right Now?

Before you consider Lithium Americas, you'll want to hear this.

MarketBeat keeps track of Wall Street's top-rated and best performing research analysts and the stocks they recommend to their clients on a daily basis. MarketBeat has identified the five stocks that top analysts are quietly whispering to their clients to buy now before the broader market catches on... and Lithium Americas wasn't on the list.

While Lithium Americas currently has a Reduce rating among analysts, top-rated analysts believe these five stocks are better buys.

View The Five Stocks Here

5G Stocks: The Path Forward is Profitable Cover

Enter your email address and we'll send you MarketBeat's guide to investing in 5G and which 5G stocks show the most promise.

Get This Free Report
Ryan Hasson
About The Author

Ryan Hasson

Contributing Author

Contributing Author

Like this article? Share it with a colleague.

Companies Mentioned in This Article

CompanyMarketRank™Current PricePrice ChangeDividend YieldP/E RatioConsensus RatingConsensus Price Target
MP Materials (MP)
1.463 of 5 stars
$87.27-2.9%N/A-140.57Moderate Buy$77.80
Critical Metals (CRML)N/A$21.78-4.2%N/AN/ASellN/A
Lithium Americas (LAC)
0.9659 of 5 stars
$7.92-16.1%N/A-34.35Reduce$5.30
Compare These Stocks  Add These Stocks to My Watchlist 

Featured Articles and Offers

Recent Videos

3 Undervalued Energy Stocks Under $20 with Big Potential
3 Stocks, 3 Stories — and 3 Big Reasons to Buy
Big Market Shifts You Can’t Ignore: Where Investors Are Moving Now

Stock Lists

All Stock Lists

Investing Tools

Calendars and Tools

Search Headlines