USA Rare Earth (NASDAQ:USAR) Trading Down 8.8% – Time to Sell?

USA Rare Earth Inc. (NASDAQ:USAR)’s stock price traded down 8.8% on Friday . The company traded as low as $15.80 and last traded at $16.24. 33,822,126 shares traded hands during mid-day trading, an increase of 66% from the average session volume of 20,324,588 shares. The stock had previously closed at $17.81.

Analyst Upgrades and Downgrades

Several equities research analysts recently commented on USAR shares. Weiss Ratings reissued a “sell (d-)” rating on shares of USA Rare Earth in a research note on Monday, December 29th. 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 report on Friday, January 30th. Benchmark assumed coverage on USA Rare Earth in a research report on Wednesday, January 21st. They issued a “buy” rating on the stock. Canaccord Genuity Group raised their price objective on USA Rare Earth from $23.00 to $33.00 and gave the company a “buy” rating in a research report on Tuesday, January 27th. Finally, UBS Group reiterated a “buy” rating on shares of USA Rare Earth in a research note on Monday, December 8th. Six research analysts have rated the stock with a Buy rating and one has given a Sell rating to the stock. According to MarketBeat.com, the company presently has an average rating of “Moderate Buy” and an average price target of $34.33.

USA Rare Earth Stock Down 8.9%

The firm’s fifty day simple moving average is $20.23 and its 200-day simple moving average is $18.68. The firm has a market capitalization of $2.15 billion, a PE ratio of -31.21 and a beta of 1.05.

Insider Buying and Selling

In other USA Rare Earth news, Director Carolyn Trabuco bought 1,300 shares of USA Rare Earth stock in a transaction on 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 acquisition, the director owned 1,300 shares in the company, valued at approximately $29,380. This trade represents a ∞ increase in their ownership of the stock. The purchase was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, Director Michael Blitzer purchased 100,000 shares of the stock in a transaction dated Thursday, January 29th. The shares were acquired at an average cost 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 represents a 13.38% increase in their ownership of the stock. The SEC filing for this purchase provides additional information. 46.60% of the stock is owned by insiders.

Institutional Trading of USA Rare Earth

A number of large investors have recently made changes to their positions in the stock. Caitong International Asset Management Co. Ltd purchased a new position in shares of USA Rare Earth during the fourth quarter valued at approximately $39,000. Virtu Financial LLC purchased a new position in shares of USA Rare Earth in the 4th quarter worth $832,000. Invesco Ltd. increased its position in USA Rare Earth by 25.2% during the fourth quarter. Invesco Ltd. now owns 67,592 shares of the company’s stock valued at $804,000 after acquiring an additional 13,598 shares during the last quarter. XTX Topco Ltd lifted its holdings in USA Rare Earth by 33.8% in the fourth quarter. XTX Topco Ltd now owns 53,349 shares of the company’s stock valued at $635,000 after acquiring an additional 13,466 shares during the period. Finally, SummitTX Capital L.P. purchased a new position in USA Rare Earth in the fourth quarter worth about $284,000.

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.