Supercharged Trends That Could Send MP Materials Stock to New Heights

MP Materials stands at the center of two explosive trends that could lift its stock, backed by a historic government stake. The stock peaked near $100 last year before retreating about 42% from its 52-week high. The first trend is rebuilding domestic supply chains for essential minerals, with MP operating the United States’ only active rare-earth mining and processing site at Mountain Pass, California. A landmark public-private partnership with the DoD has set a price floor of $110 per kilogram for NdPr products and gave the DoD a 15% stake in the company. China currently dominates rare-earth extraction and processing, underscoring why U.S. independence matters. The second trend is a surge in AI and automation hardware, which increases demand for NdPr magnets used in everything from data centers to robotics and EVs. MP also has a $500 million, long-term agreement with Apple to recover magnets from recycled electronics and a separate long-term supply deal with General Motors for U.S.-sourced rare earths, alloys, and magnets, with expansion plans targeting 2028 to raise capacity.