Here's Why MP Materials Continues to Soar in 2026

Core Viewpoint - The U.S. government's ongoing support for the domestic rare-earth industry is beneficial for MP Materials, especially in light of recent developments in the sector [1][4]. Company Performance - MP Materials' stock has increased by 14.6% in 2026, although it has slightly decreased from a 16.3% rise at the end of January, indicating volatility driven by market speculation [2]. - The current stock price is $57.30, with a market capitalization of $10 billion and a 52-week range of $18.64 to $100.25 [4]. Industry Developments - USA Rare Earth secured $3.1 billion in government funding and private investment, which has implications for MP Materials as it highlights the government's commitment to supporting rare-earth companies [3]. - The market is speculating on the absence of price-floor commitments in the USA Rare Earth agreement, which has led to concerns about MP Materials' future agreements [5]. Government Relations - MP Materials has a legally binding agreement with the Department of Defense that includes a price floor and guarantees the purchase of magnets produced at the "10X Facility" for a decade [6]. - The partnership with the government positions MP Materials favorably, as the administration can prioritize military orders and take actions against underperforming contractors [8][9]. Strategic Importance - The company plays a crucial role in securing a domestic supply of rare-earth materials, which is essential for the modern economy, as evidenced by Apple's $500 million supply agreement with MP Materials [10].