Why did the Mineral Resources share price rip 15% higher today?

The iron ore and lithium giant was the fastest riser of the ASX 200 on Thursday.

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The Mineral Resources Limited (ASX: MIN) share price soared by 15.3% to an intraday high of $23.29 on Thursday.

The mining stock was the strongest performer within the benchmark S&P/ASX 200 Index (ASX: XJO) today.

The surge in value came despite no official news from the ASX 200 miner.

However, Mineral Resources was among a group of other ASX mining shares that experienced strong price lifts today.

Let's review.

Smiling miner.

Image source: Getty Images

Mineral Resources share price soars on Thursday

The Mineral Resource share price finished the session on Thursday at $23.19 per share, up 14.8%.

Ongoing corporate governance issues have plagued Mineral Resources for many months.

This along with concerns over its balance sheet and softer commodity prices has led to a decline in its share price, as shown below.

The last price-sensitive news from Mineral Resources came on 27 May when the miner provided an update on its Onslow Iron project.

The miner reduced its volume guidance for Onslow Iron to a range of 7.8 million tonnes to 8 million tonnes.

This was down from the previous guidance of 8.5 million tonnes to 8.7 million tonnes.

In terms of corporate governance matters, the latest news was the appointment of Malcolm Bundey to the board on 19 May.

Bundey is currently Deputy Chair at Brickworks Ltd (ASX: BKW).

Bundey has begun his service as a Non-Executive Director and will become Board Chair at Mineral Resources from 1 July.

Current Chair James McClements is stepping down on 1 July after 10 years with the miner.

Mineral Resources among several miners that lifted strongly on Thursday

The top 10 ASX 200 performers today were dominated by miners.

Among the strongest performers was fellow ASX 200 lithium stock Pilbara Minerals Ltd (ASX: PLS).

The Pilbara Minerals share price closed at $1.35, up 12.5%.

ASX 200 rare earths share Lynas Rare Earths Ltd (ASX: LYC) lifted 12.52% to $9.26.

Lithium and nickel miner IGO Ltd (ASX: IGO) also flew up the charts, rising 9.6% to close at $4.34 per share.

Mineral sands explorer Iluka Resources Ltd (ASX: ILU) surged 7.1% to $3.92.

What do the brokers say about Mineral Resources shares?

Medallion Financial Group's Stuart Bromley has a buy rating on Mineral Resources shares, describing them as "heavily undervalued".

Bromley notes a strong recovery in the Mineral Resource share price since it hit the $14 range in April.

"Identifying value, buyers have since stepped in …," he commented.

Morgans has an add rating on Mineral Resources and upped its 12-month share price target from $23 to $26 last week.

Macquarie has an outperform rating on Mineral Resources with a share price target of $35.

However, some traders are sceptical, as evidenced by Mineral Resources remaining among the top 10 most shorted ASX shares.

Motley Fool contributor Bronwyn Allen has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has positions in and has recommended Brickworks and Macquarie Group. The Motley Fool Australia has positions in and has recommended Brickworks and Macquarie Group. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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