USA Rare Earth (NASDAQ:USAR) Trading Down 1.8% – Here’s Why

USA Rare Earth Inc. (NASDAQ:USAR)’s stock price traded down 1.8% on Friday . The stock traded as low as $23.58 and last traded at $24.39. 12,830,705 shares traded hands during trading, a decline of 31% from the average session volume of 18,704,250 shares. The stock had previously closed at $24.83.

More USA Rare Earth News

Here are the key news stories impacting USA Rare Earth this week:

• Positive Sentiment: Cantor Fitzgerald raised its price target on USA Rare Earth to $35 from $30 and reiterated an Overweight rating, signaling continued bullishness on the company’s long-term prospects.
• Positive Sentiment: USA Rare Earth reported Q1 results that beat expectations on both EPS and revenue, helping support the stock after earnings; the company also ended the quarter with a large cash balance and highlighted major strategic progress. USA Rare Earth Stock Climbs After Q1 Earnings Release — Here’s Why
• Positive Sentiment: The company said it commissioned Phase 1a of its magnet line in Oklahoma and is targeting 600 metric tons by 2026, a step that supports its mine-to-magnet growth plan and future NdFeB order fulfillment. Will Stillwater Facility Ramp-Up Drive Long-Term Growth for USAR?
• Neutral Sentiment: Recent transcripts and commentary emphasized USA Rare Earth’s strategic transformation, including the Serra Verde and Carester transactions and broader mine-to-magnet integration efforts, which are more important for the long term than near-term earnings.
• Negative Sentiment: Despite the upbeat fundamental updates, shares are softer today as investors appear to be rotating out of risk assets in a broad market selloff, overshadowing the bullish analyst and operating news. USA Rare Earth Shares Fall As Broad Market Selloff Overshadows Bullish Outlook

Wall Street Analysts Forecast Growth

A number of brokerages have commented on USAR. Benchmark began coverage on shares of USA Rare Earth in a report on Wednesday, January 21st. They issued a “buy” rating on the stock. Wedbush increased their price target on USA Rare Earth from $29.00 to $35.00 and gave the company an “outperform” rating in a report on Tuesday. Roth Mkm set a $30.00 price target on USA Rare Earth in a report on Monday, April 20th. Canaccord Genuity Group upped their target price on USA Rare Earth from $29.00 to $32.00 and gave the company a “buy” rating in a research report on Tuesday, April 21st. Finally, Weiss Ratings reiterated a “sell (d-)” rating on shares of USA Rare Earth in a research note on Friday, March 27th. Eight equities research analysts have rated the stock with a Buy rating and one has given a Sell rating to the company’s stock. According to data from MarketBeat, the company presently has an average rating of “Moderate Buy” and a consensus target price of $35.40.

USA Rare Earth Price Performance

The stock has a market capitalization of $5.32 billion, a price-to-earnings ratio of -6.22 and a beta of 2.38. The firm’s fifty day moving average is $19.92 and its 200-day moving average is $18.37.

USA Rare Earth (NASDAQ:USAR) last issued its earnings results on Wednesday, May 13th. The company reported ($0.12) earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of ($0.16) by $0.04. The company had revenue of $5.70 million during the quarter. On average, sell-side analysts expect that USA Rare Earth Inc. will post -0.76 EPS for the current year.

Institutional Investors Weigh In On USA Rare Earth

A number of institutional investors have recently modified their holdings of the stock. Ascentis Independent Advisors bought a new stake in USA Rare Earth during the first quarter worth approximately $27,000. Larson Financial Group LLC boosted its holdings in USA Rare Earth by 217.5% during the fourth quarter. Larson Financial Group LLC now owns 2,092 shares of the company’s stock worth $25,000 after buying an additional 1,433 shares in the last quarter. National Bank of Canada FI boosted its holdings in USA Rare Earth by 110.0% during the third quarter. National Bank of Canada FI now owns 2,100 shares of the company’s stock worth $36,000 after buying an additional 1,100 shares in the last quarter. KBC Group NV bought a new stake in USA Rare Earth during the first quarter worth approximately $35,000. Finally, NewEdge Advisors LLC lifted its position in shares of USA Rare Earth by 158.2% in the 2nd quarter. NewEdge Advisors LLC now owns 2,324 shares of the company’s stock valued at $25,000 after acquiring an additional 1,424 shares in the last quarter.

USA Rare Earth Company Profile

USA Rare Earth (NASDAQ: USAR) is a development-stage critical minerals company focused on advancing a fully integrated rare earth element (REE) and lithium project in the United States. Its flagship asset is the Round Top deposit in West Texas, a large, polymetallic concentration of light and heavy rare earth elements, lithium and other co-products. The company seeks to move this asset through resource delineation, pilot-scale processing and eventual commercial production to address growing domestic demand for secure REE supply chains.

In addition to exploration, USA Rare Earth is engineering an on-site separation facility that will utilize dry magnetic separation and hydrometallurgical flowsheets to produce mixed rare earth carbonates.