MP Materials Corp. (MP) Fair Value & PE Analysis
Industrial Materials · NYSE
Current Price
$57.55
PE Ratio (TTM)
n/m
Intrinsic Value
Use the calculator below to estimate
COMPETITIVE MOAT
↑Unique Integrated Western Producer
MP Materials is the sole integrated rare-earth producer in the Western Hemisphere. This unique position provides a significant advantage in a critical global supply chain.
↑Largest US Rare-Earth Mine
The company operates the largest rare-earth mine in the United States. This scale offers cost efficiencies and a substantial resource base for future production.
↑Record Output and Capacity Expansion
Recent record rare-earth output and expanding magnet capacity demonstrate operational momentum. This growth suggests increasing market share and revenue potential.
INVESTMENT RISKS
↓Competition from New Entrants
USA Rare Earth's $1.6 billion funding could enable significant expansion, directly challenging MP Materials' market position. This new competition may dilute market share and pricing power.
↓Valuation and Cost Concerns
Despite strong stock performance, valuation and cost management remain key watchpoints. High costs could erode profitability, especially if rare-earth prices fluctuate.
↓Dependence on Rare-Earth Market
The company's fortunes are tied to the volatile global rare-earth market. Price swings and demand shifts can significantly impact revenue and profitability.
Customize the MP PE valuation
Adjust the target PE, earnings growth, and discount rate to see how the fair value and margin of safety for MP Materials Corp. respond.
Open PE Calculator for MPCompany Overview
MP Materials Corp. manages and operates facilities dedicated to the extraction and refinement of rare earth elements. The company's primary asset is the Mountain Pass Rare Earth mine, a key operation situated within the Western Hemisphere. MP Materials holds comprehensive mineral rights for this significant deposit and its surrounding areas, alongside proprietary intellectual property essential for the ongoing processing and technological development of rare earth minerals. Its product offerings include critical elements such as cerium, lanthanum, neodymium, praseodymium, and samarium. Established in 2017, the company is headquartered in Las Vegas, Nevada.
Financial Metrics — MP PE Stock Valuation Data
PE Ratio (TTM)
n/m
PEG Ratio
n/m
Earnings Yield
-0.70%
ROE (TTM)
-3.5%
Revenue/Share (TTM)
$1.96
Debt/Equity
0.44x
Frequently Asked Questions
What is the PE ratio of MP?
The trailing twelve-month PE ratio of MP reflects how much investors pay per dollar of MP Materials Corp.'s earnings. This metric is most useful when compared to Industrial Materials peers and the company's own historical range.
Is MP overvalued based on PE ratio?
MP's PE of -143.6x combined with a PEG ratio of -3.99 provides a growth-adjusted perspective. MP has negative earnings, so its PE and PEG ratios are not meaningful here and cannot tell you whether the stock is over or undervalued. Keep in mind that PE-based valuation works best for profitable, mature companies — for high-growth or cyclical Industrial Materials, a DCF analysis may be more appropriate.
How do I value MP stock using PE ratio?
To value MP Materials Corp. using PE: (1) Compare the current PE (-143.6x) against the Industrial Materials median to assess relative pricing, (2) check the PEG ratio (-3.99) to adjust for growth expectations, (3) review the 5-year PE range to identify where the stock sits historically, and (4) estimate fair value by multiplying a target PE by forward EPS estimates. This relative approach complements DCF's absolute valuation.
What is the PEG ratio of MP?
MP's PEG ratio is -3.99, calculated by dividing the PE ratio (-143.6x) by the expected earnings growth rate. Because MP has negative earnings, its PEG ratio is not meaningful and should not be read as a sign of under or overvaluation. Note that PEG accuracy depends on the reliability of growth estimates.
Should I use PE ratio or DCF for MP stock valuation?
PE ratio gives a quick relative read — how MP is priced versus Industrial Materials peers. DCF provides an absolute value based on projected free cash flows. For the most reliable valuation, use PE as a quick comparability screen and DCF for a deeper fundamental analysis. Each method has blind spots: PE ignores capital structure and cash flow quality, while DCF is sensitive to growth and discount rate assumptions.
Learn More
- See MP DCF Valuation → — Intrinsic value via Discounted Cash Flow analysis
- PE Methodology — Step-by-step guide to PE ratio stock valuation
- DCF Methodology — Guide to discounted cash flow analysis
- PE Ratio — Understanding the price-to-earnings ratio
- Intrinsic Value — How to evaluate stock fair value
Related PE Valuations
All Basic Materials valuationsP/E and DCF value MP with different methods and assumptions, so the two conclusions can differ. Compare the DCF intrinsic value.
Price as of 2026-06-12. Financial data from Financial Modeling Prep (trailing twelve months) · Valuation methodology by Charlie Wang.
This is an estimate, not investment advice.