Goldman Sachs initiates coverage of MP Materials (MP.US) with a "buy" rating and is optimistic that its vertical integration strategy will unlock significant profit potential.

According to the Wisdom Financial APP, the stock price of MP Materials (MP.US) surged 8.61% at the close on Wednesday, with Goldman Sachs initiating coverage and giving it a "buy" rating with a target price of $77. Analyst Brian Lee pointed out that the company is poised to become the largest rare earth magnet supplier in North America through vertical integration, as manufacturers seek supply chain diversification and take market share from Chinese companies that control 90%-95% of global rare earth refining and magnet production.