Jim Cramer on MP Materials: "It is Worth More Than it's Selling For"

MP Materials Corp. (NYSE:MP) is one of the stocks Jim Cramer commented on. A caller mentioned holding 500 shares of MP on margin and expressed interest in adding more. In response, Cramer commented:

“Okay, first, I want you to do well. I want you to get off margin. MP Materials, I don’t want you to buy more with margin. I like, I think the stock, the company has convinced me, Litinsky has convinced, the CEO, that it is worth more than it’s selling for. I had been a little bit worried because it had doubled. I think you’re fine, but don’t, please don’t buy anymore. You’re fine with what you have.”

MP Materials Corp. (NYSE:MP) produces rare earth materials through its Mountain Pass mine and processing facility and manufactures magnetic precursor products to support advanced technologies. In a July episode, when a caller asked Cramer how he sees the stock over the long term, he replied:

“But they’ve got tons of EBITDA. No, look, I mean, the stock has moved to 61. Now, I have done more work on it, and I really think that I was a little, you know, I wasn’t negative, but I think there’s even more upside, and I think you’re onto something really big.”

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Disclosure: None. This article is originally published at Insider Monkey.