Post-Earnings Research - Molycorp

LONDON, April 13, 2015 /PRNewswire/ --

Editor Note: For more information about this release, please scroll to bottom.

Investor-Edge.com has issued free post-earnings research on Molycorp Inc. (NYSE: MCP). On March 16, 2015, the company reported its financial results for Q4 FY14 and full-year FY14 (period ended December 31, 2014). Click on http://get.Investor-Edge.com/pdf/?c=Molycorp&d=13-Apr-2015&s=MCP to read our free earnings review on Molycorp Inc. (Molycorp). During Q4 FY14 and FY14, the company's revenues were $116.24 million and $475.61 million, respectively. Our free coverage report can be accessed at:

http://get.Investor-Edge.com/pdf/?c=Molycorp&d=13-Apr-2015&s=MCP

Earnings Overview 

During Q4 FY14, Molycorp's revenues fell 6% Y-o-Y from $123.81 million in Q4 FY13, largely driven by a shifting product mix, lower sales volumes from all segments, except for Rare Metals, and softened pricing for rare earths. The company's revenues outperformed Bloomberg analysts' forecasts of $104.00 million in Q4 FY14. The company's Resources and Chemicals and Oxides segment revenues were $8.66 million and $42.76 million, respectively, in Q4 FY14. Further, Magnetic Materials and Alloys and Rare Metals segments contributed $57.40 million and $21.72 million, respectively, to Molycorp's total revenues in Q4 FY14. During the reported quarter, the company reported product sales volume of 3,149 metric tons (mt) at an average selling price of (ASP) of $36.91 per kilogram, and reported a gross loss of $44.84 million. Free research on MCP can be downloaded in PDF format at:

http://get.Investor-Edge.com/pdf/?c=Molycorp&d=13-Apr-2015&s=MCP

For Q4 FY14, Molycorp's operating loss came in at $301.69 million. Further, the company's net loss attributable to Molycorp's stockholders was $329.80 million, or $1.43 loss per diluted share, in Q4 FY14 compared to net loss attributable to Molycorp's stockholders of $194.31 million, or $0.95 per diluted share, in Q4 FY13. During Q4 FY14, analysts from Bloomberg had expected the company to report net loss attributable to Molycorp's stockholders of $70.00 million, or $0.26 loss per diluted share.

In FY14, Molycorp's revenues decreased 14% Y-o-Y from $554.39 million in FY13, largely driven by softened rare earth pricing. The company's revenues for FY14 outperformed Bloomberg analysts' forecasts of $463.00 million. Molycorp's Resources segment revenue fell to $48.19 million in FY14 from $59.66 million in FY13. The company's revenue from Chemicals and Oxides segment for FY14 came in at $181.42 million compared to $219.07 million in FY13. For FY14, Magnetic Materials and Alloys segments' revenues stood at $230.39 million compared to $252.71 million in FY13. Furthermore, Rare Metals segments' revenues fell to $79.36 million in FY14 from $86.24 million in FY13. Sign up and read the free analyst's notes on MCP at:

http://get.Investor-Edge.com/pdf/?c=Molycorp&d=13-Apr-2015&s=MCP

Molycorp reported product sales volume of 13,019 mt at an ASP of $36.53 per kilogram and reported gross loss of $99.59 million in FY14 compared to volume sales of 12,873 mt at an ASP of $43.07 per kilogram and a gross loss of $67.17 million in FY13.

For FY14, Molycorp's operating loss stood at $450.87 million compared to operating loss of $356.69 million in FY13. Net loss attributable to Molycorp's stockholders was $604.93 million, or $2.70 loss per diluted share, in FY14 compared to net loss attributable to Molycorp's stockholders of $374.38 million, or $2.21 loss per diluted share, in FY13. For FY14, analysts from Bloomberg had expected net loss attributable to Molycorp's stockholders of $348.00 million, or $1.51 loss per diluted share.

Molycorp reported net cash used in operating activities of $222.20 million in FY14 compared to net cash used in operating activities of $154.35 million in FY13. As of December 31, 2014, the company had cash and cash equivalents of $211.69 million compared to cash and cash equivalents of $314.32 million as of December 31, 2013. Visit Investor-Edge and access the latest research on MCP at:

http://get.Investor-Edge.com/pdf/?c=Molycorp&d=13-Apr-2015&s=MCP

Stock Performance  

On the day following the earnings release, March 17, 2015, Molycorp's stock plummeted 35.30% to end the session at $0.48. Since then, the stock has moved both ways with gains outperforming losses. However, on the last close, Friday, April 10, 2015, Molycorp's shares finished 11.65% lower at $0.53. The company's shares vacillated between $0.51 and $0.60 during the session. A total of 7.69 million shares were traded which was above their three months average volume of 6.65 million shares. The stock has surged 13.13% in the previous three trading sessions. However, over the last one month and over the past three months, the company's shares have declined 30.45% and 11.67%, respectively. Shares in Molycorp closed below their 50-day and 200-day moving averages of $0.67 and $1.23, respectively. Furthermore, the stock has a Relative Strength Index (RSI) of 49.49.

Sneak Peek to Corporate Insider Trading 

In the last one month, Molycorp has reported only one insider transaction to the U.S. Securities and Exchange Commission (SEC). On March 19, 2015, Kevin W. Johnson, Executive Vice President and General Counsel at Molycorp, sold 954 shares of the company at a price of $0.94 per share which aggregates to a total value of $896.76. Complimentary in-depth research on MCP is available at:

http://get.Investor-Edge.com/pdf/?c=Molycorp&d=13-Apr-2015&s=MCP

About Investor-Edge.com 

At Investor-Edge, we provide our members with a simple and reliable way to leverage our economy of scale. Most investors do not have time to track all publicly traded companies, much less perform an in-depth review and analysis of the complexities contained in each situation. That's where Investor-Edge comes in. We provide a single unified platform for investors' to hear about what matters. Situation alerts, moving events, and upcoming opportunities.

===============

EDITOR'S NOTES:

===============

1. This is not company news. We are an independent source and our views do not reflect the companies mentioned.

2. Information in this release is produced on a best efforts basis by Rohit Tuli, a CFA charterholder. The content is then further fact checked and reviewed by an outsourced research provider. However, we are only human and are prone to make mistakes. If you notice any errors or omissions, please notify us below.

3. This information is submitted as a net-positive to companies mentioned, to increase awareness for mentioned companies to our subscriber base and the investing public.

4. If you wish to have your company covered in more detail by our team, or wish to learn more about our services, please contact us at pubco [at] www.investor-edge.com.

5. For any urgent concerns or inquiries, please contact us at compliance [at] www.investor-edge.com.

6. Are you a public company? Would you like to see similar coverage on your company? Send us a full investors' package to research [at] www.investor-edge.com for consideration.

COMPLIANCE PROCEDURE

Content is researched, written and reviewed on a best-effort basis. This document, article or report is prepared and authored by Investor-Edge, represented by Rohit Tuli, CFA. An outsourced research services provider has only reviewed the information provided by Investor-Edge in this article or report according to the procedures outlined by Investor-Edge. Investor-Edge is not entitled to veto or interfere in the application of such procedures by the outsourced provider to the articles, documents or reports, as the case may be.

NOT FINANCIAL ADVICE

Investor-Edge makes no warranty, expressed or implied, as to the accuracy or completeness or fitness for a purpose (investment or otherwise), of the information provided in this document. This information is not to be construed as personal financial advice. Readers are encouraged to consult their personal financial advisor before making any decisions to buy, sell or hold any securities mentioned herein.

NO WARRANTY OR LIABILITY ASSUMED

Investor-Edge is not responsible for any error which may be occasioned at the time of printing of this document or any error, mistake or shortcoming. No liability is accepted by Investor-Edge whatsoever for any direct, indirect or consequential loss arising from the use of this document. Investor-Edge expressly disclaims any fiduciary responsibility or liability for any consequences, financial or otherwise arising from any reliance placed on the information in this document. Investor-Edge does not (1) guarantee the accuracy, timeliness, completeness or correct sequencing of the information, or (2) warrant any results from use of the information. The included information is subject to change without notice.

CFA® and Chartered Financial Analyst® are registered trademarks owned by CFA Institute.

SOURCE Investor-Edge