Mp Materials Corp Stock Market Value
| MP Stock | USD 18.74 0.51 2.80% |
| Symbol | MP Materials |
MP Materials Corp Price To Book Ratio
Is Diversified Metals & Mining space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of MP Materials. If investors know MP Materials will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about MP Materials listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth (0.56) | Earnings Share (0.52) | Revenue Per Share 1.08 | Quarterly Revenue Growth 0.198 | Return On Assets (0.04) |
The market value of MP Materials Corp is measured differently than its book value, which is the value of MP Materials that is recorded on the company's balance sheet. Investors also form their own opinion of MP Materials' value that differs from its market value or its book value, called intrinsic value, which is MP Materials' true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because MP Materials' market value can be influenced by many factors that don't directly affect MP Materials' underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between MP Materials' value and its price as these two are different measures arrived at by different means. Investors typically determine if MP Materials is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, MP Materials' price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.
MP Materials 'What if' Analysis
In the world of financial modeling, what-if analysis is part of sensitivity analysis performed to test how changes in assumptions impact individual outputs in a model. When applied to MP Materials' stock what-if analysis refers to the analyzing how the change in your past investing horizon will affect the profitability against the current market value of MP Materials.
| 10/23/2024 |
| 11/22/2024 |
If you would invest 0.00 in MP Materials on October 23, 2024 and sell it all today you would earn a total of 0.00 from holding MP Materials Corp or generate 0.0% return on investment in MP Materials over 30 days. MP Materials is related to or competes with Piedmont Lithium, Sigma Lithium, Standard Lithium, Vale SA, Rio Tinto, BHP Group, and Teck Resources. MP Materials Corp. owns and operates rare earth mining and processing facilities More
MP Materials Upside/Downside Indicators
Understanding different market momentum indicators often help investors to time their next move. Potential upside and downside technical ratios enable traders to measure MP Materials' stock current market value against overall market sentiment and can be a good tool during both bulling and bearish trends. Here we outline some of the essential indicators to assess MP Materials Corp upside and downside potential and time the market with a certain degree of confidence.
| Downside Deviation | 2.66 | |||
| Information Ratio | 0.1662 | |||
| Maximum Drawdown | 17.15 | |||
| Value At Risk | (4.00) | |||
| Potential Upside | 7.34 |
MP Materials Market Risk Indicators
Today, many novice investors tend to focus exclusively on investment returns with little concern for MP Materials' investment risk. Other traders do consider volatility but use just one or two very conventional indicators such as MP Materials' standard deviation. In reality, there are many statistical measures that can use MP Materials historical prices to predict the future MP Materials' volatility.| Risk Adjusted Performance | 0.1545 | |||
| Jensen Alpha | 0.5127 | |||
| Total Risk Alpha | 0.2617 | |||
| Sortino Ratio | 0.2084 | |||
| Treynor Ratio | 0.4292 |
MP Materials Corp Backtested Returns
MP Materials appears to be not too volatile, given 3 months investment horizon. MP Materials Corp retains Efficiency (Sharpe Ratio) of 0.2, which conveys that the firm had a 0.2% return per unit of price deviation over the last 3 months. By analyzing MP Materials' technical indicators, you can evaluate if the expected return of 0.64% is justified by implied risk. Please exercise MP Materials' Market Risk Adjusted Performance of 0.4392, mean deviation of 2.43, and Standard Deviation of 3.34 to check out if our risk estimates are consistent with your expectations. On a scale of 0 to 100, MP Materials holds a performance score of 15. The company owns a Beta (Systematic Risk) of 1.49, which conveys a somewhat significant risk relative to the market. As the market goes up, the company is expected to outperform it. However, if the market returns are negative, MP Materials will likely underperform. Please check MP Materials' standard deviation, expected short fall, relative strength index, as well as the relationship between the maximum drawdown and rate of daily change , to make a quick decision on whether MP Materials' current price history will revert.
Auto-correlation | 0.07 |
Virtually no predictability
MP Materials Corp has virtually no predictability. Overlapping area represents the amount of predictability between MP Materials time series from 23rd of October 2024 to 7th of November 2024 and 7th of November 2024 to 22nd of November 2024. The more autocorrelation exist between current time interval and its lagged values, the more accurately you can make projection about the future pattern of MP Materials Corp price movement. The serial correlation of 0.07 indicates that barely 7.0% of current MP Materials price fluctuation can be explain by its past prices.
| Correlation Coefficient | 0.07 | |
| Spearman Rank Test | 0.13 | |
| Residual Average | 0.0 | |
| Price Variance | 0.61 |
MP Materials Corp lagged returns against current returns
Autocorrelation, which is MP Materials stock's lagged correlation, explains the relationship between observations of its time series of returns over different periods of time. The observations are said to be independent if autocorrelation is zero. Autocorrelation is calculated as a function of mean and variance and can have practical application in predicting MP Materials' stock expected returns. We can calculate the autocorrelation of MP Materials returns to help us make a trade decision. For example, suppose you find that MP Materials has exhibited high autocorrelation historically, and you observe that the stock is moving up for the past few days. In that case, you can expect the price movement to match the lagging time series.
Current and Lagged Values |
| Timeline |
MP Materials regressed lagged prices vs. current prices
Serial correlation can be approximated by using the Durbin-Watson (DW) test. The correlation can be either positive or negative. If MP Materials stock is displaying a positive serial correlation, investors will expect a positive pattern to continue. However, if MP Materials stock is observed to have a negative serial correlation, investors will generally project negative sentiment on having a locked-in long position in MP Materials stock over time.
Current vs Lagged Prices |
| Timeline |
MP Materials Lagged Returns
When evaluating MP Materials' market value, investors can use the concept of autocorrelation to see how much of an impact past prices of MP Materials stock have on its future price. MP Materials autocorrelation represents the degree of similarity between a given time horizon and a lagged version of the same horizon over the previous time interval. In other words, MP Materials autocorrelation shows the relationship between MP Materials stock current value and its past values and can show if there is a momentum factor associated with investing in MP Materials Corp.
Regressed Prices |
| Timeline |
Pair Trading with MP Materials
One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if MP Materials position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in MP Materials will appreciate offsetting losses from the drop in the long position's value.Moving against MP Materials Stock
| 0.83 | XPL | Solitario Exploration | PairCorr |
| 0.75 | BYU | BAIYU Holdings | PairCorr |
| 0.39 | NB | NioCorp Developments | PairCorr |
| 0.39 | NMG | Nouveau Monde Graphite | PairCorr |
| 0.38 | ELBM | Electra Battery Materials | PairCorr |
The ability to find closely correlated positions to MP Materials could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace MP Materials when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back MP Materials - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling MP Materials Corp to buy it.
The correlation of MP Materials is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as MP Materials moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if MP Materials Corp moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for MP Materials can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.Additional Tools for MP Materials Stock Analysis
When running MP Materials' price analysis, check to measure MP Materials' market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy MP Materials is operating at the current time. Most of MP Materials' value examination focuses on studying past and present price action to predict the probability of MP Materials' future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move MP Materials' price. Additionally, you may evaluate how the addition of MP Materials to your portfolios can decrease your overall portfolio volatility.