MP Materials (NYSE:MP) Stock Price Down 1.9% – Time to Sell?

MP Materials Corp. (NYSE:MP)’s stock price was down 1.9% during mid-day trading on Friday . The stock traded as low as $52.09 and last traded at $53.4780. Approximately 3,915,506 shares changed hands during mid-day trading, a decline of 63% from the average daily volume of 10,479,246 shares. The stock had previously closed at $54.54.

Wall Street Analysts Forecast Growth

Several brokerages have weighed in on MP. Bank of America upped their target price on MP Materials from $78.00 to $112.00 and gave the stock a “buy” rating in a report on Wednesday, October 15th. Daiwa Capital Markets initiated coverage on MP Materials in a report on Monday, September 22nd. They issued an “outperform” rating and a $80.00 price objective for the company. DA Davidson reiterated a “buy” rating and set a $82.00 target price on shares of MP Materials in a report on Thursday, November 20th. Morgan Stanley raised shares of MP Materials from an “equal weight” rating to an “overweight” rating and raised their target price for the company from $68.50 to $71.00 in a research report on Friday, December 5th. Finally, Wall Street Zen lowered shares of MP Materials from a “hold” rating to a “sell” rating in a report on Saturday, November 15th. One analyst has rated the stock with a Strong Buy rating, thirteen have assigned a Buy rating and one has given a Sell rating to the company. According to MarketBeat.com, the company currently has a consensus rating of “Moderate Buy” and an average price target of $78.91.

MP Materials Stock Down 1.9%

The business’s fifty day moving average price is $59.86 and its two-hundred day moving average price is $60.32. The company has a debt-to-equity ratio of 0.47, a quick ratio of 7.51 and a current ratio of 8.05. The firm has a market capitalization of $9.48 billion, a P/E ratio of -75.32 and a beta of 1.69.

MP Materials (NYSE:MP) last posted its quarterly earnings data on Thursday, November 6th. The company reported ($0.10) EPS for the quarter, topping the consensus estimate of ($0.15) by $0.05. The firm had revenue of $53.55 million during the quarter, compared to analyst estimates of $49.72 million. MP Materials had a negative net margin of 50.55% and a negative return on equity of 7.69%. MP Materials’s revenue was down 14.9% on a year-over-year basis. During the same quarter in the previous year, the business posted ($0.12) EPS. Equities analysts expect that MP Materials Corp. will post -0.19 earnings per share for the current fiscal year.

Insider Buying and Selling at MP Materials

In other MP Materials news, CEO James H. Litinsky sold 385,000 shares of the stock in a transaction dated Friday, December 5th. The stock was sold at an average price of $62.94, for a total value of $24,231,900.00. Following the completion of the sale, the chief executive officer directly owned 13,105,965 shares in the company, valued at approximately $824,889,437.10. This trade represents a 2.85% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which can be accessed through the SEC website. Also, CFO Ryan Corbett sold 38,146 shares of the firm’s stock in a transaction dated Tuesday, December 9th. The stock was sold at an average price of $60.00, for a total value of $2,288,760.00. Following the completion of the sale, the chief financial officer directly owned 156,666 shares of the company’s stock, valued at approximately $9,399,960. This represents a 19.58% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. In the last quarter, insiders have sold 691,557 shares of company stock valued at $43,538,586. Company insiders own 9.50% of the company’s stock.

Hedge Funds Weigh In On MP Materials

Hedge funds have recently modified their holdings of the stock. Caxton Associates LLP acquired a new stake in MP Materials in the 2nd quarter worth approximately $132,238,000. National Bank of Canada FI raised its holdings in shares of MP Materials by 19,314.3% in the second quarter. National Bank of Canada FI now owns 2,013,462 shares of the company’s stock worth $66,987,000 after buying an additional 2,003,091 shares during the last quarter. Reaves W H & Co. Inc. lifted its stake in shares of MP Materials by 168.4% during the third quarter. Reaves W H & Co. Inc. now owns 2,589,908 shares of the company’s stock worth $173,705,000 after buying an additional 1,624,908 shares during the period. BNP Paribas Financial Markets grew its holdings in shares of MP Materials by 76.3% during the second quarter. BNP Paribas Financial Markets now owns 2,921,542 shares of the company’s stock valued at $97,200,000 after buying an additional 1,264,243 shares during the last quarter. Finally, UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC increased its position in shares of MP Materials by 429.3% in the 1st quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 1,550,124 shares of the company’s stock valued at $37,839,000 after acquiring an additional 1,257,282 shares during the period. Institutional investors and hedge funds own 52.55% of the company’s stock.

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.