MP Materials Denies Policy Shift Amid Rare Earth Pricing Controversy
MP Materials (MP) shares plunged over 8% in pre-market trading following a disputed Reuters report about U.S. government policy on rare earth minerals. The company vehemently denied claims of withdrawn price guarantees, calling the report "inaccurate" and "misleading."
The stock volatility continues a turbulent week for the rare earth producer, which saw a 10% drop Monday after competitor USA Rare Earth secured government funding. Despite the swings, analysts maintain a Strong Buy rating with a $76.13 price target, suggesting 13.6% upside potential.
As North America's sole large-scale rare earth mining operation, MP Materials represents a strategic asset in the critical minerals sector. Its Texas manufacturing facility expansion underscores growing domestic focus on supply chain security.
