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REDDIT

$IPX down from $50 → $29 in 3 days. Overreaction or red flag?

Been digging into $IPX after the brutal drop. Trying to understand if this is just momentum unwinding or something fundamentally wrong.

IperionX is building a domestic U.S. titanium supply chain; producing titanium metal from minerals and recycled scrap. Titanium is critical for aerospace, defense, EVs and additive manufacturing.

The U.S. Department of Defense awarded them up to $47.1M to scale titanium production and strengthen the U.S. defense industrial base.

The company is scaling a Titanium Manufacturing Campus in Virginia

Recently the U.S. government even transferred \~290 tons of titanium scrap to them for free, roughly 1.5 years of feedstock.

Titanium is considered a strategic material for military systems, aircraft, and advanced manufacturing.

So the thesis seems clear:

U.S. wants domestic critical metals, and IPX is trying to build that supply chain.

But the flip side:

Still early stage

Not fully scaled yet

Valuation ran hard before this drop

A 40% dump in 3 days feels extreme for a company with actual DoD funding.

Curious what others think.

Is $IPX a strategic materials play or just another small-cap that ran too hot?