Molycorp still faces challenges ramping at Mountain Pass, analyst says


Molycorp (MCP -2.1%) still faces ramping headwinds, Baird analyst Ken Kallo says as he reiterates a Neutral rating and $4 price target on the shares after the company's Q4 earnings call.

Although MCP believes it can become EBITDA positive in H2 2014 through reducing costs and increasing production, the firm believes the company continues to face challenges in ramping its Mountain Pass facility, which has led to lower-than-expected production in Q1.

Kallo says he would avoid purchasing shares until further cost reductions and stable production volumes are achieved.

From other sites
Comments (0)
Be the first to comment
DJIA (DIA) S&P 500 (SPY)
ETF Hub
ETF Screener: Search and filter by asset class, strategy, theme, performance, yield, and much more
ETF Performance: View ETF performance across key asset classes and investing themes
ETF Investing Guide: Learn how to build and manage a well-diversified, low cost ETF portfolio
ETF Selector: An explanation of how to select and use ETFs