USA Rare Earth (NASDAQ:USAR) Trading Down 6% – Here’s Why

USA Rare Earth Inc. (NASDAQ:USAR)’s stock price dropped 6% on Monday . The company traded as low as $12.61 and last traded at $12.70. Approximately 6,612,621 shares traded hands during trading, an increase of 11% from the average daily volume of 5,945,976 shares. The stock had previously closed at $13.51.

Analysts Set New Price Targets

A number of equities analysts have commented on the company. William Blair assumed coverage on USA Rare Earth in a research note on Monday, October 20th. They issued an “outperform” rating for the company. Weiss Ratings reissued a “sell (d-)” rating on shares of USA Rare Earth in a report on Monday. Benchmark restated a “buy” rating on shares of USA Rare Earth in a research report on Monday, December 8th. Canaccord Genuity Group increased their target price on USA Rare Earth from $22.00 to $23.00 and gave the stock a “buy” rating in a research report on Friday, November 7th. Finally, UBS Group reiterated a “buy” rating on shares of USA Rare Earth in a research note on Monday, December 8th. Six 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 stock presently has a consensus rating of “Moderate Buy” and an average target price of $26.33.

USA Rare Earth Stock Performance

The firm has a market capitalization of $1.58 billion, a P/E ratio of -22.88 and a beta of 0.91. The business has a fifty day moving average of $15.95 and a 200-day moving average of $16.26.

USA Rare Earth (NASDAQ:USAR) last announced its earnings results on Thursday, November 6th. The company reported ($0.25) earnings per share for the quarter, missing the consensus estimate of ($0.06) by ($0.19).

Hedge Funds Weigh In On USA Rare Earth

Institutional investors and hedge funds have recently bought and sold shares of the stock. Pier 88 Investment Partners LLC bought a new stake in shares of USA Rare Earth in the 2nd quarter worth $588,000. Farther Finance Advisors LLC boosted its stake in USA Rare Earth by 1,461,225.0% during the third quarter. Farther Finance Advisors LLC now owns 58,453 shares of the company’s stock valued at $1,005,000 after buying an additional 58,449 shares in the last quarter. Newtyn Management LLC acquired a new position in USA Rare Earth during the first quarter worth about $4,114,000. Darwin Wealth Management LLC acquired a new position in USA Rare Earth during the third quarter worth about $693,000. Finally, Geode Capital Management LLC raised its position in USA Rare Earth by 2,437.5% in the second quarter. Geode Capital Management LLC now owns 653,290 shares of the company’s stock worth $7,160,000 after acquiring an additional 627,545 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.