Should You Buy MP Materials Stock at $38?

MP Materials, a rare-earth materials miner backed by Pentagon investment, has fallen 60% from its $100 high and now trades at $38. While the company benefits from a $400 million DoD purchase and guaranteed buyer for its 10X facility, profit-sharing agreements with the Pentagon limit upside potential. The stock trades at a premium valuation (16x revenue) compared to peers despite being unprofitable, making it suitable only for risk-tolerant investors as a small speculative position.