MP Materials Corp. (NYSE: MP) stock jumped 0.14% on Thursday to $22.23 against a previous-day closing price of $22.20. With 2.42 million shares changed hands, the volume of the stock remained lighter than its average volume of 2.43 million shares. During the session, the Other Industrial Metals & Mining company that operates in wider Basic Materials sector, reached to the highest price of $22.27 whereas the lowest price it dropped to was $21.76. The 52-week range on MP shows that it touched its highest point at $42.84 and its lowest point at $20.21 during that stretch. It currently has a 1-year price target of $37.00.
Top 5 EV Tech Stocks to Buy for 2023
According a new report published by BloombergNEF on investment in the energy transition, annual spending on passenger EVs hit $388 billion in 2022, up 53% from the year before. Like we said, the boom is accelerating – and the time to buy EV-related tech stocks is now.
Click Here to Download the FREE Report.
Price Performance and Earnings:
Stock performance is one of the indicators that investors use to determine whether they will profit from a stock. The price performance of MP was up-trending over the past week, with a rise of 0.50%, but this was up by 3.25% over a month. Three-month performance dropped to -32.64% while six-month performance fell -34.15%. The stock lost -39.63% in the past year, while it has lost -8.44% so far this year. A look at the trailing 12-month EPS for MP yields 1.27 with Next year EPS estimates of 1.39. For the next quarter, that number is 0.09. This implies an EPS growth rate of 113.30% for this year and 85.79% for next year.
Float and Shares Shorts:
At present, 176.88 million MP shares are outstanding with a float of 145.08 million shares on hand for trading. On May 14, 2023, short shares totaled 11.96 million, which was 6.74% higher than short shares on Apr 13, 2023. In addition to Mr. James Henry Litinsky as the firm’s Chairman, Pres & CEO, Mr. Ryan S. Corbett serves as its Chief Financial Officer.
Through their ownership of 67.37% of MP’s outstanding shares, institutional investors have majority control over the company. Other institutions hold 41.24% of MP, in contrast to 40.44% held by mutual funds. Shares owned by individuals account for 23.31%. As the largest shareholder in MP with 16.09% of the stake, JHL Capital Group LLC holds 28,573,349 shares worth 28,573,349. A second-largest stockholder of MP, The Vanguard Group, Inc., holds 9,784,251 shares, controlling over 5.51% of the firm’s shares. QVT Financial LP is the third largest shareholder in MP, holding 8,853,712 shares or 4.99% stake. With a 1.86% stake in MP, the Vanguard Total Stock Market ETF is the largest stakeholder. A total of 3,307,434 shares are owned by the mutual fund manager. The SPDR S&P Metals & Mining ETF, which owns about 1.75% of MP stock, is the second-largest Mutual Fund holder. It holds 3,108,263 shares valued at 67.36 million. iShares Core S&P Mid Cap ETF holds 1.62% of the stake in MP, owning 2,880,941 shares worth 62.43 million.
An Overview of Recent Financials:
Understanding a company as a customer does not mean you will understand it as an investor. The wise investor uses quantitative research to analyze metrics such as revenue, net income, and earnings. In its fiscal quarter reported on Mar 30, 2023, MP reported revenue of $143.56M and operating income of $95.75M. The EBITDA in the recently reported quarter was $103.37M and diluted EPS was $0.38.
Reading analyst opinions is an effective way to decide where to invest, and there are several opinions available for MP since 0 analysts follow the stock currently. In the same way, a target price assigned to a stock can also reveal much about its potential. With MP analysts setting a high price target of $56.00 and a low target of $26.00, the average target price over the next 12 months is $35.45. Based on these targets, MP could surge 151.91% to reach the target high and rise by 16.96% to reach the target low. Reaching the average price target will result in a growth of 59.47% from current levels.
EPS: Estimates vs Actual
It is also common to use earnings estimates to evaluate a firm’s growth potential and to determine trading strategy.
Summary of Insider Activity:
Insiders traded MP stock several times over the past three months with 2 Buys and 2 Sells. In these transactions, 2,061 shares were bought while 461 shares were sold. The number of buy transactions has increased to 17 while that of sell transactions has risen to 240 over the past year. The total number of shares bought during that period was 115,075 while 27,147,701 shares were sold.