MP Materials Corp. Common Stock (MP) Stock Analysis — Latest Investor Quotes & Trade Calls

MP Materials (MP): Investment Thesis Explained

-1.42%current return

"Like I often say about other companies I like but find richly valued, if I were a diversified investor, I could probably make room for a small position here and add on weakness with a 10+ year horizon and modest allocation. However, as a concentrated investor already heavily exposed to higher-risk plays, I don’t feel comfortable initiating a position in MP at these levels. After two years of triple-digit portfolio returns achieved without leverage or options, I’m being more selective with new capital, prioritizing downside protection over momentum chasing."

Back in April, I wrote an article about the Rare Earth Elements (REE) industry, breaking down why it’s so important and why it has become such a hot topic lately.

MP Materials Buy Call Backed by DoD Contract

-21.14%current return

"MP Materials has long-term backstopping from the federal government and a price floor, and they own the only operating rare earth mine and processing facility in the United States. This stock is overdue for breathing after recent massive runs. Short-term pricing is going to be based around how heated US China trade war tension is in the geopolitical sphere and throughout the media. However, longterm, we expect much broader price appreciation."

The speaker presents MP Materials as a compelling stock, uniquely positioned with government backing and a price floor from a DoD contract, which supports both short-term price action and long-term appreciation.

Hold MP Amid US Rare Earth Rally

"MP is up 8%. It was up 8% on Friday... It's a hold in the quant. Why? The valuation is stretched. The profitability is stretched. Wall Street, they think it's worth $77. That's where it's trading right now."

The speaker offers commentary on MP, a company in the rare earth space, noting recent gains and overall government support but cautioning that its valuation and profitability are stretched. The recommendation is to hold the stock.