Barclays Upgrades MP Materials (NYSE:MP) to “Strong-Buy”

MP Materials (NYSE:MP) was upgraded by Barclays to a “strong-buy” rating in a report issued on Thursday,Zacks.com reports.

Several other analysts have also commented on the stock. Canaccord Genuity Group set a $82.00 target price on shares of MP Materials in a research note on Friday, May 8th. TD Securities raised shares of MP Materials to a “strong-buy” rating in a research note on Monday, February 9th. William Blair reissued an “outperform” rating on shares of MP Materials in a research note on Wednesday, March 4th. Wall Street Zen raised shares of MP Materials from a “sell” rating to a “hold” rating in a research note on Sunday, March 8th. Finally, Deutsche Bank Aktiengesellschaft reissued a “buy” rating on shares of MP Materials in a research note on Tuesday, May 12th. Three investment analysts have rated the stock with a Strong Buy rating, fourteen have issued a Buy rating and one has given a Sell rating to the company’s stock. According to MarketBeat, the stock presently has an average rating of “Buy” and an average target price of $80.08.

MP Materials Trading Up 4.3%

MP Materials stock opened at $64.42 on Thursday. The firm has a 50 day simple moving average of $58.67 and a 200-day simple moving average of $59.17. The company has a debt-to-equity ratio of 0.47, a current ratio of 7.18 and a quick ratio of 6.58. The stock has a market capitalization of $11.47 billion, a PE ratio of -153.37 and a beta of 1.90. MP Materials has a 12-month low of $18.64 and a 12-month high of $100.25.

MP Materials (NYSE:MP) last released its earnings results on Thursday, May 7th. The company reported $0.03 EPS for the quarter, beating the consensus estimate of ($0.01) by $0.04. MP Materials had a negative net margin of 28.00% and a negative return on equity of 2.27%. The business had revenue of $90.65 million during the quarter, compared to analyst estimates of $74.82 million. During the same period in the prior year, the business earned ($0.12) earnings per share. The business’s quarterly revenue was up 49.1% on a year-over-year basis. As a group, equities research analysts expect that MP Materials will post -0.04 EPS for the current fiscal year.

Insider Activity

In other news, CFO Ryan Corbett sold 20,000 shares of the business’s stock in a transaction that occurred on Friday, May 8th. The shares were sold at an average price of $75.00, for a total transaction of $1,500,000.00. Following the sale, the chief financial officer owned 109,017 shares in the company, valued at $8,176,275. The trade was a 15.50% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, COO Michael Stuart Rosenthal purchased 17,000 shares of the business’s stock in a transaction dated Wednesday, May 20th. The shares were purchased at an average price of $56.62 per share, for a total transaction of $962,540.00. Following the acquisition, the chief operating officer directly owned 1,333,673 shares of the company’s stock, valued at $75,512,565.26. This trade represents a 1.29% increase in their ownership of the stock. The disclosure for this purchase is available in the SEC filing. Insiders have sold 666,000 shares of company stock worth $43,103,382 over the last 90 days. 8.20% of the stock is owned by company insiders.

Institutional Inflows and Outflows

Several large investors have recently added to or reduced their stakes in MP. Royal Bank of Canada increased its stake in MP Materials by 26.5% in the 1st quarter. Royal Bank of Canada now owns 234,185 shares of the company’s stock valued at $5,716,000 after buying an additional 49,052 shares during the period. AQR Capital Management LLC acquired a new position in MP Materials in the 1st quarter valued at approximately $215,000. Integrated Wealth Concepts LLC acquired a new position in MP Materials in the 1st quarter valued at approximately $219,000. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. increased its stake in MP Materials by 4.6% in the 1st quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 10,793 shares of the company’s stock valued at $265,000 after buying an additional 479 shares during the period. Finally, Goldman Sachs Group Inc. increased its stake in MP Materials by 36.0% in the 1st quarter. Goldman Sachs Group Inc. now owns 193,943 shares of the company’s stock valued at $4,734,000 after buying an additional 51,348 shares during the period. Institutional investors and hedge funds own 52.55% of the company’s stock.

More MP Materials News

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

• Positive Sentiment: Barclays initiated coverage of MP Materials with a Buy rating and a $69 price target, reinforcing the broader bullish Wall Street view that has most analysts rating the stock a Buy. MP Stock Stays Perfect but Trading Has Been Strange Lately
• Positive Sentiment: MP’s COO, Michael Stuart Rosenthal, disclosed the purchase of 17,000 shares, a move investors often view as a confidence signal from management. Michael Stuart Rosenthal Buys 17,000 Shares of MP Materials (NYSE:MP) Stock
• Neutral Sentiment: Rare-earth stocks broadly rallied on funding news and fading China fears, which supported MP alongside peers, but the move also reflected sector volatility rather than a company-specific catalyst. Rare Earth Stocks Rally On Funding News, Fading China Fears
• Neutral Sentiment: MP’s latest earnings update showed strong revenue growth and a narrower operating loss, but the company remains unprofitable, keeping investors cautious about the pace of a turnaround. MP’s Operating Losses Continue in Q1: Can It Revert to Profitability?
• Negative Sentiment: A comparison piece argued that Idaho Strategic has the edge over MP Materials thanks to profitability, rising earnings, and a lower valuation, highlighting competitive and valuation concerns for MP. MP Materials vs. IDR: Which Mining Stock Has More Upside?

MP Materials Company Profile

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.