MP Materials vs. The Metals Company: Which Rare-Earth Bet Actually Pays Off First?

Rare-earth elements are central to advanced technologies, including those used in defense.

For decades, China has tightened its grip on the mining and processing of these crucial materials, raising ...

Top 10 Stocks to Buy Now › Rare-earth elements are central to advanced technologies, including those used in defense.

For decades, China has tightened its grip on the mining and processing of these crucial materials, raising concerns among U.S.

Research from The Motley Fool shows that China accounts for roughly 70% of rare-earth extraction and 90% of rare-earth processing.

In response, there is a renewed focus on boosting domestic mining and processing of rare-earth elements.

Two rare-earth companies generating buzz are MP Materials ( MP -2.15% ) and The Metals Company ( TMC -2.26% ) .

Both companies could be key players in helping the U.S.

secure rare-earth elements, but one in particular stands out as the smarter investment choice that could pay off sooner rather than later.

When you compare MP Materials and The Metals Company (TMC), the differences are stark.

MP Materials operates the Mountain Pass rare-earth mine and processing facility, the only active rare-earth mining and processing site of scale in North America.

In contrast, TMC is a development company exploring the collection and processing of polymetallic nodules on the seafloor, a practice known as deep-sea mining.

MP Materials already has mining and processing capabilities and is expanding its downstream processing capabilities, where it manufactures powerful magnets used in many modern technologies.

Expand NYSE : MP MP Materials Premium Feature Moneyball Superscore 66 /100 Today's Change ( -2.15 %) $ -0.93 Current Price $ 42.43 Key Data Points Market Cap $7.6B Market cap calculated using publicly traded shares outstanding only.

Does not include unlisted, private, or dual-class non-traded shares.

Day's Range $ 41.94 - $ 43.27 52wk Range $ 37.81 - $ 97.00 Volume 14.9K Avg Vol 5.9M Gross Margin 14.51% Another distinct advantage for MP Materials is its massive agreement with the Department of Defense.