Stocks making the biggest moves midday: MP Materials, Alibaba, Protagonist Therapeutics & more

Market movements were notably influenced by geopolitical factors, with rare earth stocks rising on President Trump's comments regarding China's mineral control, while the Magnificent Seven and U.S.-listed Chinese equities declined sharply following his threat of new tariffs. Concurrently, Protagonist Therapeutics surged 34% on acquisition talks with Johnson & Johnson, and Applied Digital gained 19% from robust Q1 revenue growth. Conversely, Doximity fell 7% after a JPMorgan downgrade, Mosaic dropped over 9% due to production issues, and Levi Strauss slid more than 11% on weaker-than-expected Q4 guidance.

Analysis

President Trump's comments regarding China's rare earth mineral control spurred a broad rally in rare earth stocks, with MP Materials trading 13% higher. Conversely, his threat of "massive" tariffs against China led to significant declines across the Magnificent Seven, including Amazon down over 3%, and U.S.-listed Chinese companies like Alibaba and Baidu, which each fell more than 6%. This highlights the immediate market sensitivity to escalating trade tensions.

Strong corporate catalysts drove notable gains in specific sectors. Rocket Lab jumped over 4% after securing multiple launch contracts with the Japan Aerospace Exploration Agency, contributing to a 23% weekly rise. Applied Digital surged 19% following an impressive 84% year-over-year revenue increase in its fiscal first quarter, while Protagonist Therapeutics rallied 34% on reports of potential acquisition talks with Johnson & Johnson.

Several companies experienced significant downturns due to company-specific challenges. Doximity shares tumbled 7% after JPMorgan downgraded the stock, citing valuation concerns and competitive pressures. Mosaic dropped over 9% following disappointing preliminary third-quarter volumes attributed to mechanical issues and utility interruptions, and Levi Strauss fell more than 11% after issuing weaker-than-expected fourth-quarter earnings guidance of 36-38 cents per share against an analyst forecast of 41 cents.

Key Decisions for Investors

• Monitor U.S.-China trade policy developments closely, as they present both risks for tech and China-exposed equities and opportunities for strategic material sectors.
• Evaluate companies with strong organic growth or M&A catalysts, such as Applied Digital and Protagonist Therapeutics, for potential alpha generation.
• Exercise caution with companies facing analyst downgrades, operational disruptions, or negative guidance, as seen with Doximity, Mosaic, and Levi Strauss.