$MP Materials(MP.US)'s CEO just made an appearance at the JPMorgan Industrial Conference. Let's take a moment to review this rare earth stock that the Trump administration treated as a 'treasure'.

1️⃣What does it do? It operates the only large-scale, commercial rare earth mine in the United States—the Mountain Pass mine in California, and is also building a rare earth magnet factory in Fort Worth, Texas. Rare earths are critical materials in electric vehicles, F-35 fighter jets, and iPhones. China produces 70% of the global supply, and the US has been trying to break this dependence. $MP Materials(MP.US) is seen as the only 'antidote'.

2️⃣It went from $18 to $88 in the past year. How? NdPr oxide production is set to double to 2,599 tons in 2025, a 101% year-over-year increase. More crucially, it signed a 10-year price protection agreement with the U.S. Department of Defense, with a floor price of $110/kg for NdPr, securing its cash flow.

3️⃣Its major clients are also top-tier: It has a long-term magnet supply contract with Apple, and General Motors is also a major client, with finished magnet deliveries to GM starting in the second half of this year. Additionally, it is jointly developing a rare earth refinery in Saudi Arabia with Ma'aden and the U.S. Department of Defense, expanding its international footprint.

However, the company is still losing money, reporting a net loss of $85.9 million for the full year 2025. The $1.25 billion Texas factory construction is a multi-year capital drain. The policy narrative is strong, but profitability still needs time. Is it a national strategic asset or a money-burning machine?