USA Rare Earth (NASDAQ:USAR) Shares Down 2.3% - Here's What Happened

Key Points

• USA Rare Earth shares fell 2.3% to $14.08 in mid-day trading, with volume down 25% from the average session.
• Analysts remain broadly optimistic, with 10 Buy ratings and one Sell rating; the average price target is $33.71, despite Roth Capital and Needham lowering their targets.
• The company reported a quarterly loss of $0.15 per share, missing the $0.07 loss expected by analysts, while major investors including BlackRock established or increased positions.

Shares of USA Rare Earth Inc. (NASDAQ:USAR - Get Free Report) dropped 2.3% during mid-day trading on Tuesday. The company traded as low as $13.96 and last traded at $14.08. Approximately 12,121,537 shares were traded during trading, a decline of 25% from the average session volume of 16,149,095 shares. The stock had previously closed at $14.41.

Wall Street Analysts Forecast Growth

A number of research firms recently weighed in on USAR. Benchmark reaffirmed a "buy" rating on shares of USA Rare Earth in a research note on Wednesday, June 3rd. Cantor Fitzgerald reissued an "overweight" rating on shares of USA Rare Earth in a research note on Tuesday, August 11th. Weiss Ratings downgraded USA Rare Earth from a "sell (d)" rating to a "sell (d-)" rating in a report on Tuesday, August 11th. Roth Capital cut their target price on USA Rare Earth from $40.00 to $30.00 and set a "buy" rating on the stock in a report on Tuesday, July 21st. Finally, Needham & Company LLC reduced their price target on shares of USA Rare Earth from $39.00 to $33.00 and set a "buy" rating for the company in a research report on Wednesday, July 22nd. Ten investment analysts have rated the stock with a Buy rating and one has given a Sell rating to the company. According to MarketBeat.com, the company has an average rating of "Moderate Buy" and an average price target of $33.71.

USA Rare Earth Trading Down 2.4%

The firm has a market cap of $3.44 billion, a P/E ratio of -5.79 and a beta of 2.58. The company's 50-day moving average is $16.89 and its two-hundred day moving average is $19.62.

USA Rare Earth (NASDAQ:USAR - Get Free Report) last issued its quarterly earnings data on Monday, August 10th. The company reported ($0.15) EPS for the quarter, missing analysts' consensus estimates of ($0.07) by ($0.08). The business had revenue of $5.82 million during the quarter. Research analysts anticipate that USA Rare Earth Inc. will post -0.62 EPS for the current fiscal year.

Institutional Investors Weigh In On USA Rare Earth

A number of institutional investors and hedge funds have recently bought and sold shares of the stock. BlackRock Inc. purchased a new stake in USA Rare Earth during the second quarter worth about $335,795,000. Weiss Asset Management LP purchased a new stake in shares of USA Rare Earth during the first quarter worth $17,103,000. Encompass Capital Advisors LLC bought a new position in USA Rare Earth in the 1st quarter worth about $7,038,000. Swiss National Bank grew its stake in USA Rare Earth by 67.6% during the first quarter. Swiss National Bank now owns 150,500 shares of the company's stock valued at $2,278,000 after acquiring an additional 60,700 shares in the last quarter. Finally, Man Group plc purchased a new position in shares of USA Rare Earth during the 2nd quarter valued at $2,562,000.

USA Rare Earth Company Profile

USA Rare Earth, Inc is a U.S.-focused critical minerals company developing an integrated rare earth supply chain. Its activities center on the production of rare earth materials used in permanent magnets, electric vehicles, wind turbines, defense systems, electronics and other advanced technologies.

The company's principal asset is the Round Top rare earth and critical minerals project in Hudspeth County, Texas. USA Rare Earth is advancing plans to mine and process ore from Round Top and produce separated rare earth oxides and other critical mineral products, including materials containing neodymium, praseodymium, dysprosium and terbium.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.