MP PE Ratio & Valuation,Is MP Overvalued

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 Fair zone, suggesting that its current forward PS ratio of 21.62 is considered Fairly compared with the five-year average of 32.32. The fair price of MP Materials Corp (MP) is between 42.62 to 65.50 according to relative valuation methord.

Relative Value

Fair Zone

42.62-65.50

Current Price：62.50

Fair

107.32

39.52

EV/EBITDA

MP Materials Corp. (MP) has a current EV/EBITDA of 39.52. The 5-year average EV/EBITDA is 169.12. The thresholds are as follows: Strongly Undervalued below -1285.35, Undervalued between -1285.35 and -558.12, Fairly Valued between 896.35 and -558.12, Overvalued between 896.35 and 1623.59, and Strongly Overvalued above 1623.59. The current Forward EV/EBITDA of 39.52 falls within the Historic Trend Line -Fairly Valued range.

-256.71

EV/EBIT

MP Materials Corp. (MP) has a current EV/EBIT of -256.71. The 5-year average EV/EBIT is -133.03. The thresholds are as follows: Strongly Undervalued below -1460.53, Undervalued between -1460.53 and -796.78, Fairly Valued between 530.72 and -796.78, Overvalued between 530.72 and 1194.47, and Strongly Overvalued above 1194.47. The current Forward EV/EBIT of -256.71 falls within the Historic Trend Line -Fairly Valued range.

21.62

MP Materials Corp. (MP) has a current PS of 21.62. The 5-year average PS is 15.52. The thresholds are as follows: Strongly Undervalued below 5.63, Undervalued between 5.63 and 10.58, Fairly Valued between 20.47 and 10.58, Overvalued between 20.47 and 25.42, and Strongly Overvalued above 25.42. The current Forward PS of 21.62 falls within the Overvalued range.

105.47

P/OCF

MP Materials Corp. (MP) has a current P/OCF of 105.47. The 5-year average P/OCF is 37.42. The thresholds are as follows: Strongly Undervalued below -86.37, Undervalued between -86.37 and -24.48, Fairly Valued between 99.31 and -24.48, Overvalued between 99.31 and 161.20, and Strongly Overvalued above 161.20. The current Forward P/OCF of 105.47 falls within the Overvalued range.

-243.56

P/FCF

MP Materials Corp. (MP) has a current P/FCF of -243.56. The 5-year average P/FCF is -86.41. The thresholds are as follows: Strongly Undervalued below -474.92, Undervalued between -474.92 and -280.67, Fairly Valued between 107.84 and -280.67, Overvalued between 107.84 and 302.10, and Strongly Overvalued above 302.10. The current Forward P/FCF of -243.56 falls within the Historic Trend Line -Fairly Valued range.

MP Materials Corp (MP) has a current Price-to-Book (P/B) ratio of 4.96. Compared to its 3-year average P/B ratio of 3.73 , the current P/B ratio is approximately 32.82% higher. Relative to its 5-year average P/B ratio of 4.80, the current P/B ratio is about 3.29% higher. MP Materials Corp (MP) has a Forward Free Cash Flow (FCF) yield of approximately -2.36%. Compared to its 3-year average FCF yield of -5.24%, the current FCF yield is approximately -54.93% lower. Relative to its 5-year average FCF yield of -3.02% , the current FCF yield is about -21.71% lower.

4.96

P/B

Median3y

3.73

Median5y

4.80

-2.36

FCF Yield

Median3y

-5.24

Median5y

-3.02

Competitors Valuation Multiple

The average P/S ratio for MP's competitors is 27.33, providing a benchmark for relative valuation. MP Materials Corp Corp (MP) exhibits a P/S ratio of 21.62, which is -20.87% above the industry average. Given its robust revenue growth of -14.90%, this premium appears unsustainable.

P/S

P/E

EV/EBITDA

EV/EBIT

Revenue Growth

Market Cap

Performance Decomposition

Market capitalization of MP increased by 184.61% over the past 1 year. The primary factor behind the change was an decrease in P/E Change from -37.57 to -77.81.

The secondary factor is the Margin Expansion, contributed 92.40%to the performance.

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

-14.90%

62.93M → 53.55M

Revenue Growth

92.40%

-40.55 → -78.02

Margin Expansion

107.11%

-37.57 → -77.81

P/E Change

184.61%

21.96 → 62.50

Mkt Cap Growth

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Frequently Asked Questions

Is MP Materials Corp (MP) currently overvalued or undervalued?

What is MP Materials Corp (MP) fair value?

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. The fair price of MP Materials Corp (MP) is between 42.62 to 65.50 according to relative valuation methord.

How does MP's valuation metrics compare to the industry average?

What is the current P/B ratio for MP Materials Corp (MP) as of Jan 08 2026?

As of Jan 08 2026, MP Materials Corp (MP) has a P/B ratio of 4.96. This indicates that the market values MP at 4.96 times its book value.

What is the current FCF Yield for MP Materials Corp (MP) as of Jan 08 2026?

As of Jan 08 2026, MP Materials Corp (MP) has a FCF Yield of -2.36%. This means that for every dollar of MP Materials Corp’s market capitalization, the company generates -2.36 cents in free cash flow.

What is the current Forward P/E ratio for MP Materials Corp (MP) as of Jan 08 2026?

As of Jan 08 2026, MP Materials Corp (MP) has a Forward P/E ratio of 107.32. This means the market is willing to pay $107.32 for every dollar of MP Materials Corp’s expected earnings over the next 12 months.

What is the current Forward P/S ratio for MP Materials Corp (MP) as of Jan 08 2026?

As of Jan 08 2026, MP Materials Corp (MP) has a Forward P/S ratio of 21.62. This means the market is valuing MP at $21.62 for every dollar of expected revenue over the next 12 months.

MP Valuation