MP Materials Overview Gabelli Funds' 48 t h Annual Automotive Symposium 2024 This presentation contains certain statements that are not historical facts and are forward-looking statements for purposes of the safe harbor provisions under the United States Private Securities Litigation Reform Act of 1995. Forward-looking statements may be identified by the use of the words such as "estimate," "plan," "shall," "may," "project," "forecast," "intend," "expect," "anticipate," "believe," "seek," "will," "target," ...

The market expects MP Materials Corp. (MP) to deliver a year-over-year decline in earnings on lower revenues when it reports results for the quarter ended September 2024. This widely-known consensus outlook is important in assessing the company's earnings picture, but a powerful factor that might influence its near-term stock price is how the actual results compare to these estimates.The stock might move higher if these key numbers top expectations in the upcoming earnings report, which is expected to be re ...

Investment Rating - Maintains an **OUTPERFORM** rating with a target price of **US$21.60** [1] Core Views - MP Materials is the largest rare earth material producer in the Western Hemisphere, owning the only rare earth mining and processing base in North America, Mountain Pass, which supplies approximately **15%** of global rare earth demand [1] - The company reported a **51% YoY decline** in operating income to **US$31.258 million** in 24Q2, with a net loss of **US$34.055 million** and adjusted EBITDA of **US$27.06 million** [1] - Rare earth oxide (REO) sales volume and realized price per ton decreased, leading to a decline in operating income and financial performance in 24Q2 [1] Financial Performance - In 24Q2, REO production was **9,084 tons**, a **16% YoY decline**, while REO sales were **5,839 tons**, down **43% YoY** [1] - The realized price of REO per ton was **US$4,183**, a **33% YoY decline** [1] - NdPr production reached **272 tons**, more than double the previous quarter, while NdPr sales were **136 tons**, flat compared to Q1, with a realized price of **US$48 per ton**, down **22%** from Q1 [1] Expansion and Future Plans - MP Materials is expanding its upstream, midstream, and downstream operations, including the **Upstream 60K** expansion plan, which is progressing steadily [1] - The company expects **NdPr production to increase by 50%** in Q3 compared to Q2, with improved unit costs as production scales up [1] - The downstream rare earth magnet production line is nearly ready, positioning the company to capitalize on future green technology industries such as electric vehicles and wind turbines [1] Profit Forecast - Revenue is projected to be **US$151 million**, **US$341 million**, and **US$521 million** for 2024, 2025, and 2026, respectively [1] - EPS is forecasted to be **-US$0.29**, **US$0.36**, and **US$0.65** for 2024, 2025, and 2026, respectively [1] - The company is valued at **60x PE** for 2025, with a target price of **US$21.60** [1]

Shares of MP Materials Corp (MP, Financial) fell 3.36% in mid-day trading on Oct 2. The stock reached an intraday low of $16.87, before recovering slightly to $16.95, down from its previous close of $17.54. This places MP 18.71% below its 52-week high of $20.85 and 69.16% above its 52-week low of $10.02. Trading volume was 814,031 shares, 21.0% of the average daily volume of 3,876,984. Wall Street Analysts Forecast Based on the one-year price targets offered by 11 analysts, the average target price for MP M ...

Industry Overview - Rare Earth Elements (REE) and Rare Earth Oxides (REO) are essential in various industries, particularly in electric vehicles (EVs), wind turbines, military engines, and robotics, highlighting their critical role in electric automation [1] Investment Insights - The focus is on identifying undervalued stocks within the REE sector, suggesting potential investment opportunities in lesser-known companies [1]

MP Materials Corp. (NYSE:MP) Jefferies Global Industrial Conference September 4, 2024 1:20 PM ET Company Participants James Litinski - Founder, Chairman and CEO Conference Call Participants Laurence Alexander - Jefferies Laurence Alexander [Call Started Abruptly] afternoon session of the Jefferies Industrials Conference. First day of the Industrial Conference. I'm Laurence Alexander with the Jefferies Chemicals team. Up next is MP Materials. And with us today is CEO, Founder and Chairman, James Litinski. Th ...

Summary of MP Materials Corp. Conference Call Company Overview - **Company**: MP Materials Corp. (NYSE: MP) - **Industry**: Rare Earth Materials and Magnetics Key Points and Arguments Transformation and Production Growth - MP Materials has transitioned from a rare earth concentrate producer to shipping Neodymium-Praseodymium (NdPr) with significant production growth expected. The company produced 272 tons of refined NdPr last quarter and anticipates at least 50% growth in the current quarter, projecting over 400 tons of NdPr production, aiming for a run rate close to 2,000 tons [2][3] Magnetics Business Development - The magnetics business, referred to as Stage 3, has grown from no employees in 2020 to 90 employees, with a facility built in Fort Worth. The company expects to start selling metal to General Motors (GM) later this year and aims to be EBITDA positive [3][4] - The magnetics business is viewed as separate from the refining business, with a focus on ensuring attractive returns on capital without reallocating resources from the refining segment [3][4] Financial Outlook and Cash Flow - MP Materials has contracted cash flows that are expected to provide significant returns over the coming years, despite the market currently assigning negative value to these cash flows. The company emphasizes the importance of executing its business plan to realize these cash flows [5][13] - The company has repurchased 8.6% of its shares year-to-date, indicating a strong balance sheet and a commitment to shareholder value [16] Market Dynamics and Demand - The NdPr market is expected to see increased demand, particularly from the robotics sector, which may surpass the electric vehicle (EV) market in the future. The company notes that China currently dominates the magnetics market, controlling over 90% [19][20] - There are indications of potential price increases in NdPr, as current prices are unsustainable for producers, leading to a need for higher prices to incentivize supply [20][21] Investment Strategy and Economic Viability - The company is cautious about new investments in the magnetics business due to current market conditions, focusing instead on maximizing existing operations and cash flows. Future expansions will depend on favorable market conditions and returns on capital [12][16][30] - The CEO highlighted the need for a more focused U.S. industrial policy to compete with Chinese dominance in the rare earths sector, advocating for the establishment of national champions in the industry [34][35] Policy and Regulatory Environment - Recent U.S. policies, including a 25% tariff on Chinese magnets and tax credits under the Inflation Reduction Act (IRA), are seen as beneficial for MP Materials. The company expects to leverage these policies to enhance its competitive position [34][35] Additional Important Insights - The company has a significant opportunity to scale its operations, with a stated nameplate capacity of 1,000 tons of magnets, which is unprecedented in the West. However, any expansion will be contingent on market conditions and return on investment [32] - The CEO expressed concerns about the lack of a cohesive industrial policy in the U.S. that could hinder the development of a robust domestic supply chain for rare earth materials [35] This summary encapsulates the key insights from the conference call, highlighting the company's strategic direction, market dynamics, and the broader implications for the rare earth materials industry.

Core Viewpoint - The materials sector has several oversold stocks, presenting potential buying opportunities for undervalued companies, as indicated by their low Relative Strength Index (RSI) values [1]. Group 1: Company Performance - Ingevity Corp (NGVT) reported weaker-than-expected quarterly results, with a stock price decline of approximately 22% over the past five days and a current RSI of 18.64. The stock closed at $35.41 on Monday, down 14.1% [3]. - Posco Holdings Inc (PKX) experienced a stock price drop of around 10% in the last five days, with a 52-week low of $58.00 and an RSI of 19.33. The shares closed at $58.66 on Monday, down 9.2% [4]. - MP Materials Corp (MP) reported disappointing second-quarter financial results, leading to a 21% decline in stock price over the past five days. The current RSI is 20.10, with shares closing at $10.52 on Monday, down 5.8% [5]. - Stepan Co (SCL) also posted worse-than-expected second-quarter results, resulting in an 18% stock price drop over the past five days. The RSI stands at 19.84, with shares closing at $73.00 on Monday, down 6.5% [6]. Group 2: Market Indicators - The RSI is a momentum indicator that helps traders assess stock performance by comparing price strength on up days versus down days. A stock is generally considered oversold when the RSI is below 30 [1].

MP Materials Corp. (MP) came out with a quarterly loss of $0.17 per share versus the Zacks Consensus Estimate of a loss of $0.10. This compares to earnings of $0.09 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of -70%. A quarter ago, it was expected that this company would post a loss of $0.01 per share when it actually produced a loss of $0.04, delivering a surprise of -300%. Over the last four quarters, the company has surp ...

American Bailout Introduction In fact, MP shares are down to less than $13, which is barely above the price it had when it went public through a SPAC deal in 2020. Please note that the share count has been fairly consistent during these years, with an increase from 170.7 million to 178.1 million shares. After peaking at roughly $60 in 2022, the stock has been in a nonstop downtrend, falling to a current market cap of $2.1 billion. It's A Long-Term Secular Trend, Which Makes It So Tough When trading, it's mu ...