MP Valuation

MP Materials Corp

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72.210

-2.82(-3.758%)1D

Overview
Forecast
Valuation
Earnings

MP Relative Valuation

MP's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average, adjusted by weights. If the market price exceeds this fair value range, MP is overvalued; if below, it's undervalued.

Historical Valuation

MP Materials Corp (MP) is now in the Overvalued zone, suggesting that its current forward PS ratio of 31.66 is considered Overvalued compared with the five-year average of 13.51. The fair price of MP Materials Corp (MP) is between 21.14 to 39.42 according to relative valuation methord. Compared to the current price of 72.21 USD , MP Materials Corp is Overvalued By 83.19%.

Relative Value

Fair Zone

21.14-39.42

Current Price：72.21

83.19%

Overvalued

388.23

Trailing

Forward

219.27

EV/EBITDA

MP Materials Corp. (MP) has a current EV/EBITDA of 219.27. The 5-year average EV/EBITDA is 160.72. The thresholds are as follows: Strongly Undervalued below -1298.90, Undervalued between -1298.90 and -569.09, Fairly Valued between 890.53 and -569.09, Overvalued between 890.53 and 1620.33, and Strongly Overvalued above 1620.33. The current Forward EV/EBITDA of 219.27 falls within the Historic Trend Line -Fairly Valued range.

-499.34

EV/EBIT

MP Materials Corp. (MP) has a current EV/EBIT of -499.34. The 5-year average EV/EBIT is -58.37. The thresholds are as follows: Strongly Undervalued below -685.36, Undervalued between -685.36 and -371.87, Fairly Valued between 255.12 and -371.87, Overvalued between 255.12 and 568.61, and Strongly Overvalued above 568.61. The current Forward EV/EBIT of -499.34 falls within the Undervalued range.

31.66

MP Materials Corp. (MP) has a current PS of 31.66. The 5-year average PS is 14.33. The thresholds are as follows: Strongly Undervalued below 4.32, Undervalued between 4.32 and 9.33, Fairly Valued between 19.33 and 9.33, Overvalued between 19.33 and 24.33, and Strongly Overvalued above 24.33. The current Forward PS of 31.66 falls within the Strongly Overvalued range.

190.50

P/OCF

MP Materials Corp. (MP) has a current P/OCF of 190.50. The 5-year average P/OCF is 29.18. The thresholds are as follows: Strongly Undervalued below -83.80, Undervalued between -83.80 and -27.31, Fairly Valued between 85.67 and -27.31, Overvalued between 85.67 and 142.16, and Strongly Overvalued above 142.16. The current Forward P/OCF of 190.50 falls within the Strongly Overvalued range.

-135.59

P/FCF

MP Materials Corp. (MP) has a current P/FCF of -135.59. The 5-year average P/FCF is -71.58. The thresholds are as follows: Strongly Undervalued below -447.46, Undervalued between -447.46 and -259.52, Fairly Valued between 116.36 and -259.52, Overvalued between 116.36 and 304.30, and Strongly Overvalued above 304.30. The current Forward P/FCF of -135.59 falls within the Historic Trend Line -Fairly Valued range.

MP Materials Corp (MP) has a current Price-to-Book (P/B) ratio of 11.68. Compared to its 3-year average P/B ratio of 3.36 , the current P/B ratio is approximately 247.38% higher. Relative to its 5-year average P/B ratio of 4.25, the current P/B ratio is about 175.04% higher. MP Materials Corp (MP) has a Forward Free Cash Flow (FCF) yield of approximately -1.44%. Compared to its 3-year average FCF yield of -4.77%, the current FCF yield is approximately -69.90% lower. Relative to its 5-year average FCF yield of -2.87% , the current FCF yield is about -49.92% lower.

11.68

P/B

Median3y

3.36

Median5y

4.25

-1.44

FCF Yield

Median3y

-4.77

Median5y

-2.87

Competitors Valuation Multiple

The average P/S ratio for MP's competitors is 7.92, providing a benchmark for relative valuation. MP Materials Corp Corp (MP) exhibits a P/S ratio of 31.66, which is 299.92% above the industry average. Given its robust revenue growth of 83.61%, this premium appears sustainable.

P/S

P/E

EV/EBITDA

EV/EBIT

P/S

Revenue Growth

Market Cap

Carpenter Technology Corp

Performance Decomposition

Market capitalization of MP increased by 459.77% over the past 1 year. The primary factor behind the change was an decrease in P/E Change from -22.14 to -116.65.

The secondary factor is the Revenue Growth, contributed 83.61%to the performance.

Overall, the performance of MP in the past 1 year is driven by P/E Change. Which is more unsustainable.

83.61%

31.26M → 57.39M

Revenue Growth

-50.63%

-108.95 → -53.79

Margin Expansion

426.79%

-22.14 → -116.65

P/E Change

459.77%