Robert W. Baird analyst William Power has maintained their bullish stance on MP stock, giving a Buy rating on July 11.
Elevate Your Investing Strategy:
- Take advantage of TipRanks Premium at 50% off! Unlock powerful investing tools, advanced data, and expert analyst insights to help you invest with confidence.
- Make smarter investment decisions with TipRanks' Smart Investor Picks, delivered to your inbox every week.
William Power has given his Buy rating due to a combination of factors that highlight MP Materials’ strategic positioning and growth potential. A significant factor is the $500 million agreement with Apple, which underscores MP’s role in developing a domestic rare earth supply chain. This partnership involves MP supplying Apple with magnets made from recycled materials, showcasing MP’s commitment to sustainability and innovation in recycling processes.
Additionally, the $200 million prepayment from Apple to expand MP’s Independence facility further strengthens this partnership and supports MP’s growth trajectory. The collaboration with the Department of Defense (DoD) to backstop rare earth magnets also positions MP favorably within strategic supply chain initiatives. These developments, coupled with MP’s premium valuation compared to peers and the rapid advancement of these agreements, contribute to Power’s optimistic outlook and Buy rating for MP Materials.
According to TipRanks, Power is a 5-star analyst with an average return of 16.5% and a 56.07% success rate. Power covers the Technology sector, focusing on stocks such as Snowflake, Dynatrace, and Apple.
In another report released on July 11, Canaccord Genuity also maintained a Buy rating on the stock with a $55.00 price target.