Market Overview

UPDATE: Piper Jaffray Assumes Coverage on Molycorp at Neutral, $8 PT

Share:
Related MCP
Do M&As Mean Gold Is Back? 1 Expert May Have An Answer
Molycorp Shares Jump 47% Following Positive Production News; Other Exploration Companies Follow Higher
Molycorp Earnings Preview - 3 Key Items (Seeking Alpha)

In a report published by Piper Jaffray, analyst Mike J. Ritzenthaler assumed coverage on Molycorp (NYSE: MCP) with a Neutral rating and $8 price target.

Piper Jaffray reported that, “We are assuming coverage of shares of MCP with a Neutral rating and $8 target, following the company's 4Q results yesterday. With the capital raise in late January, we believe the company has adequate liquidity to ramp Mountain Pass through FY13, though the capex required for small ‘fixes' as the team finds the process bottlenecks is hard to predict. The volume ramp also coincides with a potentially long product development cycle for cerium applications – even if new partner Univar holds promising new volumes, margins remain somewhat unclear. Markets for Heavies, La, Nd, Pr, and other products seem robust enough to justify the production ramp.”

Shares of Molycorp closed at $5.99 on Thursday.

Latest Ratings for MCP

DateFirmActionFromTo
Jan 2015DA DavidsonDowngradesBuyNeutral
Aug 2014Euro PacificDowngradesHoldSell
Aug 2014Euro PacificUpgradesSellHold

View More Analyst Ratings for MCP
View the Latest Analyst Ratings

Posted-In: Piper JaffrayAnalyst Color Initiation Analyst Ratings

 

Related Articles (MCP)

Around the Web, We're Loving...

Get Benzinga's Newsletters

Our Experts vs. S&P 500Powered by Benzinga
Marketfy Products Return S&P 500
Morning Profit Maker 42.72% 6.69%
The Option Prophet 91.14% 6.69%
SecretCaps 26.55% 6.69%
Short-Term Trend Trading 11.89% 6.69%
View the highest rated products→