Almost every stock will give the patient investor a second chance, and now may be that time for investors looking to get exposure to the rare earth metal space. Severe Chinese export controls have led to demand destruction (mostly through accelerated substitution and recycling) and prices have plunged. While a tough pricing environment does no favors to Molycorp (NYSE:MCP), the quality of this American miner merits a second look at today's prices.
Few Surprises to Close the Year
For all of the rare earth metal pricing drama, Molycorp's fourth quarter went more or less as expected. Revenue dropped 4% sequentially as strong volume growth (237% in cerium products) was offset by a nearly 50% quarter-to-quarter price cut.
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http://stocks.investopedia.com/stock-analysis/2012/Molycorp-Setting-Up-A-Second-Chance-MCP-REE-RIO-BHP0228.aspx
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