MP Materials Corp. (NYSE:MP) Given Average Recommendation of “Moderate Buy” by Brokerages

Shares of MP Materials Corp. (NYSE:MP) have been given an average recommendation of “Moderate Buy” by the ten research firms that are covering the stock, MarketBeat Ratings reports. Four equities research analysts have rated the stock with a hold rating and six have issued a buy rating on the company. The average 1 year price objective among analysts that have updated their coverage on the stock in the last year is $21.40.

Several brokerages recently issued reports on MP. DA Davidson upped their price target on shares of MP Materials from $20.00 to $23.00 and gave the stock a “buy” rating in a research report on Tuesday, October 1st. BMO Capital Markets increased their target price on MP Materials from $16.00 to $18.50 and gave the company a “market perform” rating in a research note on Friday, October 25th. Robert W. Baird lifted their price target on shares of MP Materials from $20.00 to $25.00 and gave the stock an “outperform” rating in a research report on Friday, September 27th. Benchmark reiterated a “buy” rating and issued a $30.00 price objective on shares of MP Materials in a research report on Friday, August 2nd. Finally, Morgan Stanley increased their target price on MP Materials from $13.50 to $16.00 and gave the stock an “equal weight” rating in a report on Thursday, September 19th.

MP Materials Stock Up 1.3 %

NYSE MP opened at $18.23 on Tuesday. The company has a current ratio of 6.90, a quick ratio of 6.17 and a debt-to-equity ratio of 0.84. The stock’s 50 day moving average is $16.04 and its two-hundred day moving average is $15.08. MP Materials has a 1-year low of $10.02 and a 1-year high of $20.85. The company has a market capitalization of $3.01 billion, a price-to-earnings ratio of -45.57 and a beta of 2.23.

MP Materials (NYSE:MP) last posted its earnings results on Thursday, August 1st. The company reported ($0.17) earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of ($0.09) by ($0.08). The firm had revenue of $31.26 million during the quarter, compared to the consensus estimate of $40.03 million. MP Materials had a negative net margin of 21.94% and a negative return on equity of 4.28%. The business’s revenue was down 51.2% on a year-over-year basis. During the same quarter last year, the firm posted $0.07 EPS. Equities analysts forecast that MP Materials will post -0.55 earnings per share for the current fiscal year.

MP Materials announced that its board has initiated a stock repurchase plan on Tuesday, September 3rd that allows the company to repurchase $300.00 million in outstanding shares. This repurchase authorization allows the company to reacquire up to 13.4% of its stock through open market purchases. Stock repurchase plans are typically a sign that the company’s leadership believes its shares are undervalued.

Insider Buying and Selling at MP Materials

In other news, COO Michael Stuart Rosenthal bought 30,000 shares of the stock in a transaction dated Tuesday, August 6th. The shares were bought at an average price of $10.84 per share, for a total transaction of $325,200.00. Following the completion of the purchase, the chief operating officer now owns 1,402,975 shares in the company, valued at approximately $15,208,249. This trade represents a 0.00 % increase in their ownership of the stock. The acquisition was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. Corporate insiders own 12.60% of the company’s stock.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently made changes to their positions in the business. Vanguard Group Inc. raised its stake in MP Materials by 1.7% in the first quarter. Vanguard Group Inc. now owns 13,861,266 shares of the company’s stock valued at $198,216,000 after purchasing an additional 225,554 shares in the last quarter. Baillie Gifford & Co. lifted its holdings in MP Materials by 2.8% in the second quarter. Baillie Gifford & Co. now owns 2,819,743 shares of the company’s stock valued at $35,895,000 after buying an additional 76,288 shares during the period. Dimensional Fund Advisors LP boosted its position in MP Materials by 3.1% during the second quarter. Dimensional Fund Advisors LP now owns 2,355,982 shares of the company’s stock valued at $29,993,000 after acquiring an additional 71,454 shares during the last quarter. Bank of New York Mellon Corp grew its holdings in MP Materials by 1.5% during the 2nd quarter. Bank of New York Mellon Corp now owns 1,733,517 shares of the company’s stock worth $22,068,000 after acquiring an additional 26,119 shares during the period. Finally, Price T Rowe Associates Inc. MD raised its position in shares of MP Materials by 2,536.8% in the 1st quarter. Price T Rowe Associates Inc. MD now owns 1,661,887 shares of the company’s stock worth $23,767,000 after acquiring an additional 1,598,861 shares in the last quarter. Institutional investors and hedge funds own 52.55% of the company’s stock.

About MP Materials

MP Materials Corp., together with its subsidiaries, produces rare earth materials. The company owns and operates the Mountain Pass Rare Earth mine and processing facility in North America. It holds the mineral rights to the Mountain Pass mine and surrounding areas, as well as intellectual property rights related to the processing and development of rare earth minerals.