Key Takeaways
Shares of MP Materials rose after Barclays initiated coverage with a Buy rating, making the stock a unanimous favorite among the 18 analysts who cover it.
“Barclays analyst Richard Garchitorena launched coverage of MP on Thursday evening with a Buy rating and $69 price target,” according to ratings aggregators. The move follows a recent reiteration of a Buy rating from DA Davidson, which holds an $82 price target on the stock.
The new rating pushed MP Materials stock up 5.1 percent to $64.85 in early Friday trading, following a 9.3 percent jump on Thursday. The stock has gained more than 220 percent over the past 12 months, supported by a U.S. government push to establish a domestic supply chain for rare-earth metals and break China’s near-monopoly.
The bullish consensus underscores the strategic importance of MP’s Mountain Pass mine, the only active and scaled rare-earth mining and processing site in the U.S. The company has secured partnerships with the Department of Defense and Apple to help build out a domestic supply chain for the "magic" magnets essential for electric vehicles, electronics, and defense applications.
DA Davidson recently updated its 2026 and 2027 estimates for MP Materials after the company reported first-quarter 2026 earnings that surpassed expectations. The company posted earnings per share of $0.03, beating a projected loss, on revenue of $90.65 million. The firm believes MP will achieve a 6,000 tons per year run rate for NdPr oxide production late in 2026.
MP Materials’ strategic position has insulated it from some typical mining sector cycles, with shares reacting positively to government investments and signs of China restricting exports. However, its value is also tied to policy, with any potential relaxation of Chinese export controls seen as a risk. Even at full capacity, MP’s production is expected to meet only a portion of U.S. demand, a factor keeping the geopolitical situation in focus for investors.
The unanimous Buy ratings suggest analysts believe the company's strategic position outweighs the risks. Investors will watch for continued progress in the company’s plan to build out its magnetics and separations capacity.
This article is for informational purposes only and does not constitute investment advice.
