Mp Materials Corp (MP) Price Target Hiked at JPMorgan Following DoD Deal

MP Materials Corp. (NYSE:MP) is one of the best rare earth stocks to buy now. On July 21, JPMorgan reiterated a ‘Neutral’ rating on the stock but hiked its price target to $64 from $18. The price target hike follows the signing of a landmark deal with the Department of Defense.

The company has entered into a transformational public-private deal with the DOD. The multibillion-dollar partnership focuses on accelerating the build-out of an end-to-end US rare earth magnet supply chain in the race to reduce foreign dependency.

In addition to the DOD deal, JPMorgan insists that a strategic partnership with Apple, as well as a successful partnership that raised $725 million, has enhanced the company’s visibility in the market. Nevertheless, the investment bank maintains a neutral stance, insisting that while additional offtake agreements could drive multiple expansions, the current valuation reflects an improved risk-reward profile.

MP Materials Corp. (NYSE:MP) is a rare earth materials and magnetics company. It extracts and refines rare earth materials at its Mountain Pass facility in California and is expanding into the manufacturing of rare earth magnets. These magnets are crucial components in various technologies, including electric vehicles, wind turbines, and defense systems.

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Disclosure: None. This article is originally published at Insider Monkey.