Q: Could you provide update on MP. Would you buy it?
Thanks,
Milan
Thanks,
Milan
5i Research Answer:
MP rose in the past month on renewed US-China negotiations around lifting restrictions on rare-earth exports. Several analysts have increased their price targets as trade tensions pushed critical mineral supply chains to top of mind, and that MP is well-positioned to benefit from this. It is not cheap on a valuation basis, but it is expected to see strong sales growth in the coming years, and analysts expect profitability by FY2026. We think MP looks interesting here, but we might give NEO the slight edge today.