Jefferies raises PT on MP Materials despite China shipments halt

Jefferies raises price target on rare earths producer MP Materials MP.N to $32 from $30

New PT a 21.4% upside to the stock's last close

On April 17, company said it had ceased shipments of rare earth concentrate to China, in response to retaliatory tariffs and export controls

Brokerage says company will likely build rare earth oxides (REO) inventory near-term to serve future non-China sales while accelerating both midstream and downstream production

"Longer-term, MP shares likely respond most favorably to government policy that stimulates demand, and least to government policy that stimulates supply" - Jefferies

9 of 12 brokerages rate the stock "buy" or higher, 3 "hold"; their median PT is $28 - data compiled by LSEG

Up till last close, stock up 60.8% YTD