MP Materials Stock Soars 308% in 2025: Can It Keep Climbing?

MP Materials stock has surged 308% this year due to the US government's push to end reliance on foreign rare earth metal producers. The company's partnership with the DoD and a $500 million deal with Apple are significant tailwinds. However, investors should remain cautious as MP Materials lacks processing facilities, and its deal with Apple involves recycled magnets rather than ore processing. Despite these challenges, the stock may continue to climb due to growing demand for rare earth metals and magnets.

MP Materials' stock has surged 308% this year, driven by the U.S. government's push to end reliance on foreign rare earth metal producers. The company's partnership with the Department of Defense (DoD) and a $500 million deal with Apple have been significant tailwinds for MP Materials [1].

The U.S. administration has implemented a price support strategy for domestic rare earths projects, aiming to boost production and curb China's market dominance [1]. This strategy includes the implementation of a price floor for MP Materials, which was part of a Pentagon investment. The goal is to rapidly enhance U.S. rare earths output through mining and recycling [1].

MP Materials' partnership with Apple involves a deal for recycled magnets rather than ore processing, which may limit the company's ability to scale its operations [2]. However, the growing demand for rare earth metals and magnets is expected to continue driving the stock's performance [2].

Investors should remain cautious, as MP Materials lacks processing facilities and relies on recycled materials for its deal with Apple [2]. Despite these challenges, the stock may continue to climb due to the U.S. government's push for domestic rare earth production and the potential for future partnerships in the sector.

References:
[1] https://www.mining-technology.com/news/trump-set-floor-price-rare-earths-boost-us-production/
[2] https://www.timothysykes.com/news/usa-rare-earth-inc-usar-news-2025_08_04/