MP Materials price target lowered to $39 from $42 at DA Davidson

DA Davidson analyst Matt Summerville lowered the firm’s price target on MP Materials to $39 from $42 but keeps a Buy rating on the shares ahead of its Q2 results. The current pricing in U.S. Dollars environment for Neodymium and Praseodymium has retreated a bit further since the company’s Q1 update, the analyst tells investors in a research note. The firm adds however that while the key legacy end market demand for rare earth materials remains sluggish, the emergence of unavoidable supply gap longer-term remains unchanged as future-facing use cases drive a significant, incremental increase in global demand.