Morgan Stanley upgrades MP Materials to 'overweight', raises PT

Morgan Stanley upgrades rating on rare earths producer MP Materials MP.N to "overweight" from "equal-weight", raises price target to $34 from $23

New price target represents a 31.1% upside to the stock's last close

Brokerage says geopolitical and trade tensions are finally pushing critical mineral supply chains to top of mind

Adds that MP is positioned to take advantage with well advanced upstream, midstream, and downstream magnet capabilities

"Company has a strong balance sheet to support the ongoing downstream transition, and we think positive free cash flow generation should accelerate from 2027" - Morgan Stanley

10 of 12 brokerages rate the stock "buy" or higher, 2 "hold"; median PT is $30 - data compiled by LSEG

Up till last close, stock up 66.2% YTD