MP Materials (NYSE: MP) was America’s favorite rare earth mining stock last year — or, at least, one of the Trump administration’s favorite rare earth miners.
Indeed, MP stock tripled in 2025, with much of those gains occurring after the Pentagon’s public-private partnership with MP was announced last July. At one point last year, MP was up more than 400%, before giving back much of those gains last October. Fast forward to today, and MP Materials is trading about 45% lower than its 52-week high.
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But don’t let that red number fool you: Despite the stock’s sell-off, which was really just a valuation correction, MP is growing stronger and healthier. The stock might not repeat last year’s performance. Yet if its recent earnings tell us anything, it’s that MP deserves a second look. Here’s what you should know.
MP is getting more value from Mountain Pass
The big takeaway from MP’s second quarter was revenue growth. MP managed to pull in about $108 million last quarter, a roughly 89% positive change year-over-year, while adjusted earnings before interest, tax, depreciation, and amortization (EBITDA) swung from a $12.5 loss to positive $28.5 million.
The company also reported $17.6 million in Pentagon-related price-protection income. Remember how the Department of Defense agreed last year to a price floor of $110 per kilogram for MP’s neodymium-praseodymium (NdPr)? Well, market prices for this vital rare earth compound apparently fell below that level, and the government made up the difference in a roughly $18 million payment.
Doubling quarterly revenue was impressive, but it’s not the reason this quarter left a strong impression on me. That’s owed to the fact that MP is now selling a much more refined NdPr product,…
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