Baird raised the firm’s price target on MP Materials to $25 from $20 and keeps an Outperform rating on the shares. The analyst also designated the shares as a “Bullish Fresh Pick.” The shares do not reflect the progress the company has made with building out its Fort Worth magnet facility, the analyst tells investors in a research note. As MP begins producing alloy this year and magnets next year, “this will be a major catalyst for shares.” contends the firm. Baird believes the magnet facility “should change the business/financial model for the better.” It says the magnet facility, additional sources of cash, and recent rebound in pricing :should all drive shares higher.”
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