USA Rare Earth (NASDAQ:USAR) Stock Price Down 1.5% After Earnings Miss

USA Rare Earth Inc. (NASDAQ:USAR)’s stock price traded down 1.5% during trading on Monday after the company announced weaker than expected quarterly earnings. The company traded as low as $18.95 and last traded at $19.04. Approximately 15,214,524 shares changed hands during mid-day trading, a decline of 10% from the average session volume of 16,844,225 shares. The stock had previously closed at $19.33.

The company reported ($0.15) earnings per share for the quarter, missing the consensus estimate of ($0.07) by ($0.08). The firm had revenue of $5.82 million for the quarter.

Analyst Upgrades and Downgrades

Several equities research analysts have issued reports on USAR shares. Roth Capital lowered their price target on shares of USA Rare Earth from $40.00 to $30.00 and set a “buy” rating on the stock in a research note on Tuesday, July 21st. Weiss Ratings upgraded shares of USA Rare Earth from a “sell (d-)” rating to a “sell (d+)” rating in a research note on Thursday, May 14th. Needham & Company LLC decreased their price objective on USA Rare Earth from $39.00 to $33.00 and set a “buy” rating for the company in a report on Wednesday, July 22nd. Canaccord Genuity Group lifted 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, Wall Street Zen upgraded USA Rare Earth from a “strong sell” rating to a “sell” rating in a report on Saturday, May 16th. Nine analysts have rated the stock with a Buy rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat, the company has an average rating of “Moderate Buy” and an average target price of $35.83.

Insider Buying and Selling at USA Rare Earth

In related news, Director Carolyn Trabuco sold 13,000 shares of the business’s stock in a transaction on Monday, June 8th. The shares were sold at an average price of $22.77, for a total transaction of $296,010.00. Following the transaction, the director directly owned 18,783 shares in the company, valued at approximately $427,688.91. The trade was a 40.90% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Corporate insiders own 9.10% of the company’s stock.

Institutional Trading of USA Rare Earth

A number of large investors have recently added to or reduced their stakes in the company. Weiss Asset Management LP bought a new stake in shares of USA Rare Earth in the 1st quarter valued at about $17,103,000. Jennison Associates LLC bought a new position in USA Rare Earth during the fourth quarter worth about $1,586,000. Encompass Capital Advisors LLC acquired a new position in USA Rare Earth during the first quarter worth approximately $7,038,000. JPMorgan Chase & Co. acquired a new position in USA Rare Earth during the third quarter worth approximately $734,000. Finally, Swiss National Bank raised its stake in USA Rare Earth by 67.6% in the first quarter. Swiss National Bank now owns 150,500 shares of the company’s stock valued at $2,278,000 after buying an additional 60,700 shares during the period.

USA Rare Earth Stock Down 1.5%

The stock has a market cap of $4.25 billion, a P/E ratio of -4.86 and a beta of 2.55. The firm has a 50 day simple moving average of $19.71 and a 200-day simple moving average of $20.53.

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.