MP Materials (NYSE: MP) is caught up in a storm, but it has managed to soar on the volatile winds. While nothing material has changed about the business over the past 30-odd days, the world has started to shift in a big way. Here’s why MP Materials’ stock has rallied roughly 90% in less than a month and why you might still want to consider the stock for your portfolio.
Modern technology is built on very specific compounds. Some of the most important today are known as rare earth metals, which are used in magnets and other items. Without items made from rare earth metals, a whole host of industries can’t make the products consumers buy. For example, a dearth of supply has left the automotive sector worried that vehicle production will be impacted. Cars are a huge retail category for rare earth metals.
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