Why MP Materials Stock Is Racing Higher (Again) Today

After announcing a major deal with the U

Besides the sustained enthusiasm from yesterday's news, investors are loading up on MP Materials stock after an analyst vided a bullish new price target

ET on Friday, s of MP Materials stock had climbed 6

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Thursday's move was just the beginning, according to one analyst Canaccord Genuity analyst George Gianarikas thinks that the stock's recent climb won't merely be sustained but will continue

Com, Canaccord more than doubled its 12-month price target on MP Materials to $55 from $27 in recognition of the company's newly announced deal

Will MP Materials continue to soar

For investors weighing whether to click the buy button on MP Materials stock in light of Canaccord's bullish price target, it's important to recognize that analysts often focus on shorter time frames, rather than the long-term horizons that the Motley Fool prefers

Consequently, it's best to take their price targets with a grain of salt, and, instead, examine each company's fundamentals thoroughly

In general, however, it's fair to say that MP Materials' agreement with the Defense Department is impressive, and it may well contribute strongly to the company's sperity

Whether the stock will keep rising elevated in the near future remains uncertain, but in the long run, MP Materials will ly flourish

Scott Levine has no position in any of the stocks mentioned

The Motley Fool recommends MP Materials

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