MP Materials (NYSE:MP) Stock Price Down 2.8% – What’s Next?

by · The Markets Daily

Shares of MP Materials Corp. (NYSE:MPGet Free Report) fell 2.8% during mid-day trading on Tuesday . The stock traded as low as $50.41 and last traded at $50.4740. 6,152,398 shares changed hands during mid-day trading, a decline of 41% from the average session volume of 10,435,628 shares. The stock had previously closed at $51.93.

Analysts Set New Price Targets

A number of analysts have recently commented on the company. Deutsche Bank Aktiengesellschaft upgraded MP Materials from a “hold” rating to a “buy” rating and upped their price objective for the stock from $68.00 to $71.00 in a report on Monday, November 10th. JPMorgan Chase & Co. upgraded MP Materials from a “neutral” rating to an “overweight” rating and decreased their target price for the company from $75.00 to $74.00 in a research note on Friday, November 14th. Wall Street Zen lowered MP Materials from a “hold” rating to a “sell” rating in a report on Saturday, November 15th. DA Davidson reissued a “buy” rating and issued a $82.00 price target on shares of MP Materials in a report on Thursday, November 20th. Finally, Bank of America upped their price target on MP Materials from $78.00 to $112.00 and gave the company a “buy” rating in a report on Wednesday, October 15th. One equities research analyst has rated the stock with a Strong Buy rating, thirteen have given a Buy rating and one has given a Sell rating to the company’s stock. Based on data from MarketBeat, the company has an average rating of “Moderate Buy” and an average target price of $78.91.

Check Out Our Latest Report on MP Materials

MP Materials Stock Performance

The company has a quick ratio of 7.51, a current ratio of 8.05 and a debt-to-equity ratio of 0.47. The stock has a market capitalization of $8.95 billion, a price-to-earnings ratio of -71.15 and a beta of 1.69. The stock’s 50-day simple moving average is $58.38 and its 200 day simple moving average is $60.80.

MP Materials (NYSE:MPGet Free Report) last announced its earnings results on Thursday, November 6th. The company reported ($0.10) EPS for the quarter, topping the consensus estimate of ($0.15) by $0.05. MP Materials had a negative return on equity of 7.69% and a negative net margin of 50.55%.The business had revenue of $53.55 million for the quarter, compared to the consensus estimate of $49.72 million. During the same period in the previous year, the business earned ($0.12) EPS. MP Materials’s revenue was down 14.9% compared to the same quarter last year. Analysts expect that MP Materials Corp. will post -0.19 earnings per share for the current fiscal year.

Insider Transactions at MP Materials

In related news, CFO Ryan Corbett sold 38,146 shares of the company’s stock in a transaction dated Tuesday, December 9th. The shares were sold at an average price of $60.00, for a total transaction of $2,288,760.00. Following the transaction, the chief financial officer owned 156,666 shares in the company, valued at $9,399,960. This represents a 19.58% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at the SEC website. Also, CEO James H. Litinsky sold 385,000 shares of the firm’s stock in a transaction dated Friday, December 5th. The shares were sold at an average price of $62.94, for a total transaction of $24,231,900.00. Following the completion of the sale, the chief executive officer owned 13,105,965 shares of the company’s stock, valued at $824,889,437.10. The trade was a 2.85% decrease in their position. The SEC filing for this sale provides additional information. Insiders sold 691,557 shares of company stock valued at $43,538,586 over the last ninety days. 9.50% of the stock is currently owned by company insiders.

Institutional Trading of MP Materials

Hedge funds and other institutional investors have recently modified their holdings of the company. Hancock Prospecting Pty Ltd grew its holdings in shares of MP Materials by 7.2% during the third quarter. Hancock Prospecting Pty Ltd now owns 14,861,212 shares of the company’s stock worth $996,741,000 after buying an additional 1,000,000 shares in the last quarter. Vanguard Group Inc. raised its holdings in MP Materials by 2.7% during the third quarter. Vanguard Group Inc. now owns 14,020,574 shares of the company’s stock worth $940,360,000 after acquiring an additional 363,975 shares in the last quarter. Caxton Associates LLP bought a new position in MP Materials during the second quarter worth about $132,238,000. Invesco Ltd. increased its holdings in shares of MP Materials by 14.3% during the second quarter. Invesco Ltd. now owns 3,033,612 shares of the company’s stock worth $100,928,000 after buying an additional 378,510 shares in the last quarter. Finally, BNP Paribas Financial Markets lifted its position in shares of MP Materials by 76.3% in the 2nd quarter. BNP Paribas Financial Markets now owns 2,921,542 shares of the company’s stock worth $97,200,000 after purchasing an additional 1,264,243 shares during the period. Institutional investors and hedge funds own 52.55% of the company’s stock.

MP Materials Company Profile

(Get Free Report)

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.

Recommended Stories