Analysts are rating MP Materials (MP) “buy” mainly because the company is currently America’s only processor of rare earths in operations and largest rare earth producers. Given the rising geopolitical tensions between US and China, China is issuing more restrictions on exports of critical materials including rare earths and the US is likely to tighten up relevant tariffs on EVs and other products which would consume rare earths. It seems highly likely that the US would urge rare earths production and processing independence and therefore, MP seems the best solutions to this. However, in my opinion, the company’s profitability would not improve too much unless geopolitical tensions become extreme. Details in the video above.