USA Rare Earth (NASDAQ:USAR) Stock Price Down 5.6% – Should You Sell?

USA Rare Earth Inc. (NASDAQ:USAR)’s share price fell 5.6% during mid-day trading on Tuesday . The stock traded as low as $21.59 and last traded at $21.74. 13,032,363 shares were traded during trading, a decline of 29% from the average session volume of 18,426,170 shares. The stock had previously closed at $23.02.

Analyst Upgrades and Downgrades

Several brokerages have recently issued reports on USAR. Needham & Company LLC began coverage on USA Rare Earth in a report on Monday, June 1st. They set a “buy” rating and a $39.00 price target for the company. Benchmark reiterated a “buy” rating on shares of USA Rare Earth in a report on Wednesday, June 3rd. Northland Securities began coverage on USA Rare Earth in a report on Thursday, April 23rd. They set an “outperform” rating and a $45.00 price target for the company. Canaccord Genuity Group raised their price objective on USA Rare Earth from $29.00 to $32.00 and gave the company a “buy” rating in a research note on Tuesday, April 21st. Finally, Weiss Ratings raised USA Rare Earth from a “sell (d-)” rating to a “sell (d+)” rating in a research note on Thursday, May 14th. Nine equities research analysts have rated the stock with a Buy rating and one has assigned a Sell rating to the company’s stock. According to data from MarketBeat, the company currently has an average rating of “Moderate Buy” and a consensus price target of $36.83.

USA Rare Earth Stock Performance

The stock has a 50 day moving average of $23.00 and a two-hundred day moving average of $19.66. The firm has a market capitalization of $4.85 billion, a P/E ratio of -5.55 and a beta of 2.33.

USA Rare Earth (NASDAQ:USAR) last issued its quarterly earnings results on Wednesday, May 13th. The company reported ($0.12) EPS for the quarter, topping the consensus estimate of ($0.16) by $0.04. The business had revenue of $5.70 million during the quarter. Sell-side analysts predict that USA Rare Earth Inc. will post -0.35 EPS for the current year.

Insider Buying and Selling

In other USA Rare Earth news, Director Carolyn Trabuco sold 13,000 shares of USA Rare Earth stock in a transaction that occurred on Monday, June 8th. The stock was sold at an average price of $22.77, for a total value of $296,010.00. Following the transaction, the director directly owned 18,783 shares of the company’s stock, valued at $427,688.91. The trade was a 40.90% decrease in their position. The sale was disclosed in a filing with the SEC, which is available at the SEC website. 9.10% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

Several institutional investors have recently added to or reduced their stakes in USAR. Bayshore Capital Advisors LLC bought a new stake in shares of USA Rare Earth during the fourth quarter valued at approximately $102,378,000. Vanguard Group Inc. increased its position in shares of USA Rare Earth by 533.3% during the fourth quarter. Vanguard Group Inc. now owns 6,036,486 shares of the company’s stock valued at $71,834,000 after purchasing an additional 5,083,288 shares during the period. Alyeska Investment Group L.P. boosted its stake in USA Rare Earth by 44.0% in the 3rd quarter. Alyeska Investment Group L.P. now owns 12,799,325 shares of the company’s stock valued at $219,034,000 after buying an additional 3,909,455 shares in the last quarter. Inflection Point Holdings II LLC acquired a new stake in USA Rare Earth in the 4th quarter valued at $37,188,000. Finally, State Street Corp boosted its stake in USA Rare Earth by 78.4% in the 4th quarter. State Street Corp now owns 5,032,866 shares of the company’s stock valued at $59,891,000 after buying an additional 2,212,177 shares in the last quarter.

About USA Rare Earth

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.