MP Materials (NYSE:MP) Shares Down 4.7% – What’s Next?

MP Materials Corp. (NYSE:MP) shares were down 4.7% on Friday . The company traded as low as $56.64 and last traded at $57.1890. Approximately 5,435,911 shares were traded during mid-day trading, a decline of 31% from the average daily volume of 7,919,448 shares. The stock had previously closed at $60.03.

Analysts Set New Price Targets

A number of equities research analysts have recently issued reports on the stock. DA Davidson reaffirmed a “buy” rating and issued a $82.00 price objective on shares of MP Materials in a research note on Wednesday. William Blair reissued an “outperform” rating on shares of MP Materials in a research note on Wednesday, March 4th. TD Securities upgraded shares of MP Materials to a “strong-buy” rating in a research report on Monday, February 9th. The Goldman Sachs Group initiated coverage on MP Materials in a research note on Wednesday, November 19th. They set a “buy” rating and a $77.00 price objective on the stock. Finally, JPMorgan Chase & Co. upgraded MP Materials from a “neutral” rating to an “overweight” rating and decreased their price objective for the stock from $75.00 to $74.00 in a report on Friday, November 14th. Two equities research analysts have 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.com, the company currently has an average rating of “Buy” and a consensus price target of $78.91.

MP Materials Price Performance

The company has a quick ratio of 6.67, a current ratio of 7.24 and a debt-to-equity ratio of 0.47. The firm’s fifty day moving average price is $61.61 and its 200-day moving average price is $63.57. The stock has a market cap of $10.14 billion, a P/E ratio of -109.98 and a beta of 1.55.

Insiders Place Their Bets

In other MP Materials news, CEO James H. Litinsky sold 272,600 shares of the firm’s stock in a transaction on Thursday, January 8th. The shares were sold at an average price of $64.17, for a total value of $17,492,742.00. Following the sale, the chief executive officer owned 12,805,965 shares of the company’s stock, valued at $821,758,774.05. This trade represents a 2.08% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. 9.50% of the stock is owned by insiders.

Institutional Trading of MP Materials

A number of institutional investors have recently modified their holdings of MP. Sound Income Strategies LLC increased its holdings in MP Materials by 420.0% during the 3rd quarter. Sound Income Strategies LLC now owns 364 shares of the company’s stock valued at $26,000 after purchasing an additional 294 shares during the period. Grove Bank & Trust purchased a new stake in MP Materials in the 3rd quarter worth approximately $34,000. EMC Capital Management bought a new stake in shares of MP Materials in the 4th quarter worth approximately $25,000. Whittier Trust Co. of Nevada Inc. purchased a new position in shares of MP Materials during the fourth quarter valued at approximately $26,000. Finally, REAP Financial Group LLC purchased a new position in shares of MP Materials during the fourth quarter valued at approximately $26,000. 52.55% of the stock is currently owned by hedge funds and other institutional investors.

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.