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MP Materials Corp. (MP) Outpaces Stock Market Gains: What You Should Know

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In the latest trading session, MP Materials Corp. (MP - Free Report) closed at $16.04, marking a +1.52% move from the previous day. The stock's change was more than the S&P 500's daily gain of 0.22%. Elsewhere, the Dow gained 0.36%, while the tech-heavy Nasdaq added 0.32%.

The company's shares have seen a decrease of 21.35% over the last month, not keeping up with the Basic Materials sector's loss of 7.44% and the S&P 500's gain of 1.61%.

The investment community will be closely monitoring the performance of MP Materials Corp. in its forthcoming earnings report. On that day, MP Materials Corp. is projected to report earnings of -$0.01 per share, which would represent a year-over-year decline of 102.38%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $48.82 million, down 47.65% from the year-ago period.

Investors should also take note of any recent adjustments to analyst estimates for MP Materials Corp. Such recent modifications usually signify the changing landscape of near-term business trends. Consequently, upward revisions in estimates express analysts' positivity towards the company's business operations and its ability to generate profits.

Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.

The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has remained steady. MP Materials Corp. is currently a Zacks Rank #4 (Sell).

With respect to valuation, MP Materials Corp. is currently being traded at a Forward P/E ratio of 29.95. This signifies a premium in comparison to the average Forward P/E of 11.08 for its industry.

The Mining - Miscellaneous industry is part of the Basic Materials sector. This industry, currently bearing a Zacks Industry Rank of 156, finds itself in the bottom 39% echelons of all 250+ industries.

The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.


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