MP Materials Corp. (MP) vs Nexa Resources S.A. (NEXA)

MP Materials Corp. and Nexa Resources S.A. are both Other Industrial Metals & Mining companies. MP Materials Corp. is the larger, with a market value of $7.4B against $1.7B — 4.5× the size. MP Materials Corp. has negative trailing earnings, so its P/E is not meaningful; Nexa Resources S.A. trades at 6.0×. MP Materials Corp. grew revenue faster over the last twelve months: 71.9% against 24.3%. Nexa Resources S.A. has the higher net margin (8.02% vs −14.6%) and the higher return on invested capital (16.8% vs −4.28%). Across the 18 metrics below, Nexa Resources S.A. leads on 13 and MP Materials Corp. on 5.

Valuation

Metric MP NEXA Other Industrial Metals & Mining median
P/E n/m 5.99 26.65
P/S 17.22 0.48 6.78
P/B 3.66 1.10 1.18
Price to free cash flow n/m 13.27 15.65
EV/EBITDA n/m 2.79 7.09
EV/Sales 16.14 0.87 4.64
Earnings yield (0.85%) 16.69% (9.58%)
Free cash flow yield (7.04%) 7.54% (8.41%)

Profitability

Metric MP NEXA Other Industrial Metals & Mining median
Gross margin 42.33% 28.39% 14.52%
Operating margin (30.48%) 22.17% 0.00%
Net margin (14.56%) 8.02% 0.00%
Free cash flow margin (121.22%) 3.61% 0.00%
Return on equity (4.08%) 20.91% (7.90%)
Return on assets (2.00%) 5.41% (11.61%)
Return on invested capital (4.28%) 16.79% (3.47%)

Growth

Metric MP NEXA Other Industrial Metals & Mining median
Revenue growth (TTM) 71.92% 24.30% 27.25%
EPS growth (last fiscal year) (29.84%) 164.52% (15.57%)
Revenue growth, 5-year CAGR 15.45% 9.00% 5.26%
Net income growth, 5-year CAGR 0.00% 0.00% 0.00%

Health

Metric MP NEXA Other Industrial Metals & Mining median
Debt to equity 0.39 1.16 0.04
Current ratio 9.51 0.80 2.48
Net debt to EBITDA 13.83 1.48 1.07

Dividend

Metric MP NEXA Other Industrial Metals & Mining median
Dividend yield — 0.00% 1.46%
Payout ratio — 0.00 —

Size

Metric MP NEXA Other Industrial Metals & Mining median
Market cap 7.41b 1.65b 454.02m

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