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MP vs. UUUU: Which Rare Earth Stock is the Smarter Buy Now?
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Key Takeaways
MP Materials' Q2 revenues jumped 84% with NdPr output up 119% and REO production up 45%.
Energy Fuels' Q2 revenues fell 52% on weaker uranium sales, widening its quarterly loss.
MP stock has surged 394.5% YTD, outpacing Energy Fuels' 236.5% gain, with stronger earnings momentum.
MP Materials (MP - Free Report) and Energy Fuels (UUUU - Free Report) are two U.S based companies expected to play pivotal roles in America’s push to secure a reliable rare earth and critical minerals supply chain.
Las Vegas, NV-based MP Materials is the largest producer of rare earth materials in the Western Hemisphere. It operates the Mountain Pass Rare Earth Mine and Processing Facility, the only rare earth mining and processing site of scale in North America. With a market capitalization of $13.7 billion, MP has established itself as the nation’s only fully integrated producer, spanning the supply chain from mining and processing to advanced magnet production.
Lakewood, CO- based Energy Fuels, with a market capitalization of $3.99 billion, is a leading producer of natural uranium concentrates. To diversify into rare earths, the company acquired several heavy mineral sand projects. Using its byproduct (monazite), UUUU is producing high-purity separated rare earth oxide neodymium-praseodymium (NdPr) at commercial-scale at its White Mesa mill in Utah. It is also piloting separation of the “heavy” rare earth elements. REEs are critical inputs across many existing and emerging clean-tech applications. For investors seeking to capitalize on future growth, the question is which stock they should put their bets on. To make an informed decision, let us analyze their fundamentals, growth potential and key challenges.
The Case for MP Materials
MP Materials’ second-quarter 2025 revenues surged 84% year over year to $57.4 million. The company produced 597 metric tons of NdPr, a 119% increase from the year-ago quarter. Rare earth oxides (REO) production increased 45% to 13,145 metric tons on higher recoveries from the continued implementation of Upstream 60K optimizations.
The Materials segment’s revenues increased 20% to $37.5 million on higher sales volumes and realized pricing. The Magnetics segment continues to ramp up commercial metal deliveries and generated revenues of $19.9 million in the quarter.
Despite the improvement in revenues, higher production costs and selling, general and administrative expenses led to a second-quarter loss of 13 cents, wider than the loss of 17 cents in the second quarter of 2024. Notably, the company’s strategy of producing and selling more separated products at Mountain Pass and the ramp-up of output of magnetic precursor products are expected to lead to higher costs this year.
In July, MP Materials announced a landmark long-term agreement to supply Apple (AAPL - Free Report) with rare earth magnets manufactured in the United States, entirely from recycled materials. Also, in July, MP Materials entered into a public-private partnership with the United States Department of Defense (DoD) that will fast-track the development of a domestic rare earth magnet supply chain.
Backed by DoD’s investments, MP will construct the second domestic magnet manufacturing facility (the 10X Facility), which will take total U.S. rare earth magnet manufacturing capacity to 10,000 metric tons and cater to both the defense and commercial sectors. MP also expects to extend the lifespan of Mountain Pass through further exploration and enhanced processing.
The Case for Energy Fuels
Energy Fuels’ revenues plunged 52% year over year to $4.2 million in the second quarter due to lower uranium sales volumes resulting from contract timing and the decision to retain inventory amid lower uranium prices. The company also recorded $0.28 million in heavy mineral sands revenues from the sale of 202 tons of rutile.
Lower revenues combined with exploration, development and processing expenses, as well as selling, general and administration expenses, led to a loss of 10 cents per share in the quarter, wider than the four cents loss reported in the year-ago quarter.
The company recently announced that its high-purity NdPr oxide has been manufactured into commercial-scale rare-earth permanent magnets (REPMs) by POSCO International Corp. It has met the stringent quality requirements for use in high-temperature drive unit motors that are installed in EV and hybrid vehicles.
The initial batch of 1.2 metric tons of NdPr oxide supplied by Energy Fuels earlier this year was processed into approximately 3.0 metric tons of REPMs by POSCO. This is sufficient to power approximately 1,500 new electric and hybrid electric vehicles. The market rollout of new vehicles powered by drive units using Energy Fuels' NdPr oxide is expected soon.
Backed by its debt-free balance sheet, Energy Fuels is ramping up uranium production while developing significant REE capabilities. Its Donald Project in Australia could start production by the end of 2027. It is one of the richest deposits of HREEs in the world and could complement UUUU’s domestic operations. Also, its Toliara Project in Madagascar and the Bahia Project in Brazil contain significant quantities of light and heavy REE oxides, which can be supplied to U.S. and European manufacturers.
How do Estimates Compare for MP & UUUU?
The Zacks Consensus Estimate for MP Materials’ fiscal 2025 earnings is pegged at a loss of 34 cents per share, wider than the loss of 44 cents reported in fiscal 2024. The estimate for fiscal 2026 earnings for MP Materials is pegged at 91 cents per share.
The Zacks Consensus Estimate for Energy Fuels’ fiscal 2025 earnings is at a loss of 33 cents per share. The 2026 estimate is earnings of one cent per share.
The earnings estimates for MP Materials for both 2025 and 2026 have moved up over the past 60 days. Meanwhile the estimates for Energy Fuels for both 2025 and 2026 have been revised downward. This is shown in the chart below.
Image Source: Zacks Investment Research
MP & UUUU: Price Performance & Valuation
So far this year, MP Materials stock has gained 394.5% compared with Energy Fuels 236.5% rise.
Image Source: Zacks Investment Research
MP Materials is currently trading at a forward 12-month price-to-sales ratio of 26.82X. Meanwhile, Energy Fuels is trading higher at a forward 12-month price-to-sales ratio of 38.11X.
Image Source: Zacks Investment Research
MP Materials or Energy Fuels: Which Stock is the Better Buy?
MP Materials continues to post solid production gains while aggressively expanding capacity. Near-term earnings remain weighed down by higher costs, but the company’s status as the only fully integrated rare earth producer in the United States sets it apart. Its end-to-end operations, coupled with long-term partnerships with Apple and the U.S. Department of Defense, strengthen its growth outlook and strategic importance.
Energy Fuels, by contrast, offers a dual play on uranium and rare earths, giving investors exposure to two critical markets. Both stocks currently carry a Zacks Rank #3 (Hold), which make choosing one difficult. MP Materials has the edge in terms of price performance, cheaper valuation and earnings momentum. With estimates trending higher, a clearer path to profitability in 2026 and a stronger production base, MP stands out as the more compelling choice for investors seeking long-term growth in critical minerals.
Image: Bigstock
MP vs. UUUU: Which Rare Earth Stock is the Smarter Buy Now?
Key Takeaways
MP Materials (MP - Free Report) and Energy Fuels (UUUU - Free Report) are two U.S based companies expected to play pivotal roles in America’s push to secure a reliable rare earth and critical minerals supply chain.
Las Vegas, NV-based MP Materials is the largest producer of rare earth materials in the Western Hemisphere. It operates the Mountain Pass Rare Earth Mine and Processing Facility, the only rare earth mining and processing site of scale in North America. With a market capitalization of $13.7 billion, MP has established itself as the nation’s only fully integrated producer, spanning the supply chain from mining and processing to advanced magnet production.
Lakewood, CO- based Energy Fuels, with a market capitalization of $3.99 billion, is a leading producer of natural uranium concentrates. To diversify into rare earths, the company acquired several heavy mineral sand projects. Using its byproduct (monazite), UUUU is producing high-purity separated rare earth oxide neodymium-praseodymium (NdPr) at commercial-scale at its White Mesa mill in Utah. It is also piloting separation of the “heavy” rare earth elements.
REEs are critical inputs across many existing and emerging clean-tech applications. For investors seeking to capitalize on future growth, the question is which stock they should put their bets on. To make an informed decision, let us analyze their fundamentals, growth potential and key challenges.
The Case for MP Materials
MP Materials’ second-quarter 2025 revenues surged 84% year over year to $57.4 million. The company produced 597 metric tons of NdPr, a 119% increase from the year-ago quarter. Rare earth oxides (REO) production increased 45% to 13,145 metric tons on higher recoveries from the continued implementation of Upstream 60K optimizations.
The Materials segment’s revenues increased 20% to $37.5 million on higher sales volumes and realized pricing. The Magnetics segment continues to ramp up commercial metal deliveries and generated revenues of $19.9 million in the quarter.
Despite the improvement in revenues, higher production costs and selling, general and administrative expenses led to a second-quarter loss of 13 cents, wider than the loss of 17 cents in the second quarter of 2024. Notably, the company’s strategy of producing and selling more separated products at Mountain Pass and the ramp-up of output of magnetic precursor products are expected to lead to higher costs this year.
In July, MP Materials announced a landmark long-term agreement to supply Apple (AAPL - Free Report) with rare earth magnets manufactured in the United States, entirely from recycled materials. Also, in July, MP Materials entered into a public-private partnership with the United States Department of Defense (DoD) that will fast-track the development of a domestic rare earth magnet supply chain.
Backed by DoD’s investments, MP will construct the second domestic magnet manufacturing facility (the 10X Facility), which will take total U.S. rare earth magnet manufacturing capacity to 10,000 metric tons and cater to both the defense and commercial sectors. MP also expects to extend the lifespan of Mountain Pass through further exploration and enhanced processing.
The Case for Energy Fuels
Energy Fuels’ revenues plunged 52% year over year to $4.2 million in the second quarter due to lower uranium sales volumes resulting from contract timing and the decision to retain inventory amid lower uranium prices. The company also recorded $0.28 million in heavy mineral sands revenues from the sale of 202 tons of rutile.
Lower revenues combined with exploration, development and processing expenses, as well as selling, general and administration expenses, led to a loss of 10 cents per share in the quarter, wider than the four cents loss reported in the year-ago quarter.
The company recently announced that its high-purity NdPr oxide has been manufactured into commercial-scale rare-earth permanent magnets (REPMs) by POSCO International Corp. It has met the stringent quality requirements for use in high-temperature drive unit motors that are installed in EV and hybrid vehicles.
The initial batch of 1.2 metric tons of NdPr oxide supplied by Energy Fuels earlier this year was processed into approximately 3.0 metric tons of REPMs by POSCO. This is sufficient to power approximately 1,500 new electric and hybrid electric vehicles. The market rollout of new vehicles powered by drive units using Energy Fuels' NdPr oxide is expected soon.
Backed by its debt-free balance sheet, Energy Fuels is ramping up uranium production while developing significant REE capabilities. Its Donald Project in Australia could start production by the end of 2027. It is one of the richest deposits of HREEs in the world and could complement UUUU’s domestic operations. Also, its Toliara Project in Madagascar and the Bahia Project in Brazil contain significant quantities of light and heavy REE oxides, which can be supplied to U.S. and European manufacturers.
How do Estimates Compare for MP & UUUU?
The Zacks Consensus Estimate for MP Materials’ fiscal 2025 earnings is pegged at a loss of 34 cents per share, wider than the loss of 44 cents reported in fiscal 2024. The estimate for fiscal 2026 earnings for MP Materials is pegged at 91 cents per share.
The Zacks Consensus Estimate for Energy Fuels’ fiscal 2025 earnings is at a loss of 33 cents per share. The 2026 estimate is earnings of one cent per share.
The earnings estimates for MP Materials for both 2025 and 2026 have moved up over the past 60 days. Meanwhile the estimates for Energy Fuels for both 2025 and 2026 have been revised downward. This is shown in the chart below.
Image Source: Zacks Investment Research
MP & UUUU: Price Performance & Valuation
So far this year, MP Materials stock has gained 394.5% compared with Energy Fuels 236.5% rise.
Image Source: Zacks Investment Research
MP Materials is currently trading at a forward 12-month price-to-sales ratio of 26.82X. Meanwhile, Energy Fuels is trading higher at a forward 12-month price-to-sales ratio of 38.11X.
Image Source: Zacks Investment Research
MP Materials or Energy Fuels: Which Stock is the Better Buy?
MP Materials continues to post solid production gains while aggressively expanding capacity. Near-term earnings remain weighed down by higher costs, but the company’s status as the only fully integrated rare earth producer in the United States sets it apart. Its end-to-end operations, coupled with long-term partnerships with Apple and the U.S. Department of Defense, strengthen its growth outlook and strategic importance.
Energy Fuels, by contrast, offers a dual play on uranium and rare earths, giving investors exposure to two critical markets. Both stocks currently carry a Zacks Rank #3 (Hold), which make choosing one difficult. MP Materials has the edge in terms of price performance, cheaper valuation and earnings momentum. With estimates trending higher, a clearer path to profitability in 2026 and a stronger production base, MP stands out as the more compelling choice for investors seeking long-term growth in critical minerals.
You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.