USA Rare Earth (NASDAQ:USAR) Trading Down 6.5% – Time to Sell?

USA Rare Earth Inc. (NASDAQ:USAR) dropped 6.5% during trading on Wednesday . The company traded as low as $18.36 and last traded at $18.40. Approximately 11,948,430 shares changed hands during mid-day trading, a decline of 41% from the average daily volume of 20,246,109 shares. The stock had previously closed at $19.68.

Analyst Upgrades and Downgrades

A number of equities research analysts have weighed in on the stock. UBS Group reiterated a “buy” rating on shares of USA Rare Earth in a research note on Monday, December 8th. Roth Mkm raised their price objective on shares of USA Rare Earth from $25.00 to $35.00 and gave the stock a “buy” rating in a report on Monday, January 26th. Cantor Fitzgerald lifted their target price on shares of USA Rare Earth from $28.00 to $35.00 and gave the company an “overweight” rating in a research report on Friday, January 30th. Benchmark initiated coverage on shares of USA Rare Earth in a research note on Wednesday, January 21st. They issued a “buy” rating on the stock. Finally, Weiss Ratings reissued a “sell (d-)” rating on shares of USA Rare Earth in a research report on Monday, December 29th. Six equities research analysts have rated the stock with a Buy rating and one has assigned a Sell rating to the stock. According to MarketBeat, the company has an average rating of “Moderate Buy” and an average target price of $34.33.

USA Rare Earth Stock Performance

The stock has a 50-day moving average of $20.19 and a 200 day moving average of $18.68. The firm has a market capitalization of $2.44 billion, a P/E ratio of -35.37 and a beta of 1.05.

Insider Buying and Selling at USA Rare Earth

In other USA Rare Earth news, Director Michael Blitzer bought 100,000 shares of the firm’s stock in a transaction dated Thursday, January 29th. The shares were bought at an average price of $21.44 per share, for a total transaction of $2,144,000.00. Following the completion of the acquisition, the director owned 847,500 shares of the company’s stock, valued at approximately $18,170,400. This trade represents a 13.38% increase in their ownership of the stock. The purchase was disclosed in a legal filing with the SEC, which is available through this hyperlink. Also, Director Carolyn Trabuco bought 1,300 shares of the stock in a transaction dated Thursday, January 29th. The stock was acquired at an average price of $22.60 per share, with a total value of $29,380.00. Following the completion of the purchase, the director owned 1,300 shares of the company’s stock, valued at $29,380. This represents a ∞ increase in their position. The disclosure for this purchase is available in the SEC filing. 46.60% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On USA Rare Earth

Several hedge funds and other institutional investors have recently added to or reduced their stakes in USAR. Larson Financial Group LLC raised its stake in shares of USA Rare Earth by 217.5% in the fourth quarter. Larson Financial Group LLC now owns 2,092 shares of the company’s stock worth $25,000 after acquiring an additional 1,433 shares during the last quarter. NewEdge Advisors LLC grew its stake in shares of USA Rare Earth by 158.2% during the second quarter. NewEdge Advisors LLC now owns 2,324 shares of the company’s stock valued at $25,000 after purchasing an additional 1,424 shares during the last quarter. Center for Financial Planning Inc. acquired a new stake in shares of USA Rare Earth in the fourth quarter valued at approximately $28,000. SBI Securities Co. Ltd. raised its position in USA Rare Earth by 10,448.0% in the 2nd quarter. SBI Securities Co. Ltd. now owns 2,637 shares of the company’s stock worth $29,000 after purchasing an additional 2,612 shares during the last quarter. Finally, Havemeyer Place LP bought a new position in USA Rare Earth in the 4th quarter worth approximately $33,000.

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.