MP Materials (MP 0.71%) is a mining company that occupies a critical place in the White House's plan to rebuild a domestic supply of rare earth elements.
Indeed, as the only owner and operator of a scalable rare earth mine in the U.S. -- the Mountain Pass mine in California -- it's no wonder the Department of Defense (DOD) invested $400 million in the company to help it expand its magnet factories.
As a result, the company's stock has grown rapidly on the year. In October shares were trading for as much as $100 a pop.
NYSE: MP
Key Data Points
Since then, shares have dropped below $60. That raises the question: Is this pullback a chance to buy?
Why 2026 could be transformational
MP Materials is heading into 2026 with several tailwinds. Not only does it have backing from the Department of Defense and Apple (AAPL 0.57%) but it's shifting into the national rare-earth supplier that investors have hoped for.
MP expects its Fort Worth magnet facility to begin shipping U.S.-made NdFeB permanent magnets by the end of 2025, with a fuller ramp-up through 2026. Considering that China has dominated every step of the magnet supply chain for decades, this is a major shift for an American company.
NdFeB magnets produced by MP Materials. Image source: MP Materials.
Early signs of revenue growth are also encouraging. Last quarter, MP surprised Wall Street with a smaller-than-expected loss. It also posted record NdPr oxide output and nearly $22 million in magnet precursor revenue.
More transformation is likely coming, too. In mid-2026, MP plans to commission its heavy rare-earth separation facility. This will let it produce metals like dysprosium (Dy) and terbium (Tb), which are essential for preventing high-performance magnets from overheating.
An investment in MP isn't risk-free. The company must expand its magnet factories, which will apply pressure to bottom-line growth. Although the company is now expecting to turn a profit next quarter, it's hard to imagine substantial growth without increasing its magnet manufacturing capacity.
If MP hits its milestones, however, and continues to get White House support, buying under $65 could end up being an early entry into a company paving America's rare-earth future.
