USA Rare Earth (NASDAQ:USAR) Trading Up 2.3% – Here’s Why

USA Rare Earth Inc. (NASDAQ:USAR) shares traded up 2.3% during trading on Thursday . The company traded as high as $19.28 and last traded at $18.87. 8,225,118 shares were traded during mid-day trading, a decline of 54% from the average session volume of 17,817,410 shares. The stock had previously closed at $18.45.

Wall Street Analyst Weigh In

USAR has been the topic of several recent research reports. Roth Capital reissued a “buy” rating on shares of USA Rare Earth in a report on Thursday, June 4th. Benchmark reiterated a “buy” rating on shares of USA Rare Earth in a research report on Wednesday, June 3rd. Needham & Company LLC began coverage on USA Rare Earth in a research note on Monday, June 1st. They set a “buy” rating and a $39.00 price target on the stock. Northland Securities assumed coverage on USA Rare Earth in a research note on Thursday, April 23rd. They set an “outperform” rating and a $45.00 price target on the stock. Finally, Wall Street Zen upgraded USA Rare Earth from a “strong sell” rating to a “sell” rating in a report on Saturday, May 16th. Nine investment analysts have rated the stock with a Buy rating and one has assigned a Sell rating to the stock. According to data from MarketBeat, USA Rare Earth currently has a consensus rating of “Moderate Buy” and a consensus price target of $36.83.

USA Rare Earth Price Performance

The company has a market cap of $4.21 billion, a price-to-earnings ratio of -4.81 and a beta of 2.45. The business’s fifty day moving average price is $23.70 and its 200 day moving average price is $20.39.

USA Rare Earth (NASDAQ:USAR) last released its quarterly earnings results on Wednesday, May 13th. The company reported ($0.12) 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. As a group, equities research analysts anticipate that USA Rare Earth Inc. will post -0.35 EPS for the current year.

Insider Buying and Selling

In related news, Director Carolyn Trabuco sold 13,000 shares of the company’s 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 sale, the director directly owned 18,783 shares in the company, valued at $427,688.91. This represents a 40.90% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available at this hyperlink. 9.10% of the stock is owned by insiders.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently modified their holdings of the company. Tudor Investment Corp ET AL bought a new stake in shares of USA Rare Earth in the 3rd quarter valued at $8,304,000. Jennison Associates LLC bought a new position in USA Rare Earth during the fourth quarter worth $1,586,000. JPMorgan Chase & Co. bought a new position in USA Rare Earth during the third quarter worth $734,000. Sovran Advisors LLC lifted its holdings in USA Rare Earth by 119.7% in the fourth quarter. Sovran Advisors LLC now owns 489,707 shares of the company’s stock valued at $5,828,000 after buying an additional 266,783 shares during the period. Finally, Kercheville Advisors LLC lifted its holdings in USA Rare Earth by 272.0% in the fourth quarter. Kercheville Advisors LLC now owns 37,200 shares of the company’s stock valued at $443,000 after buying an additional 27,200 shares during the period.

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.