USA Rare Earth (NASDAQ:USAR) Shares Gap Up - Should You Buy?

Key Points

• USA Rare Earth Inc. shares experienced a significant gap up, opening at $18.65 compared to the previous close of $17.33.
• Analysts maintain a consensus rating of "Buy" for the stock, with three out of six analysts issuing buy ratings and a target price around $16.00.
• Recent insider activity includes a major sale of 2,091,849 shares by Director Michael Blitzer, valued at over $32 million.

USA Rare Earth Inc. (NASDAQ:USAR - Get Free Report)'s share price gapped up prior to trading on Monday . The stock had previously closed at $17.33, but opened at $18.65. USA Rare Earth shares last traded at $17.49, with a volume of 3,512,827 shares.

Wall Street Analyst Weigh In

A number of research analysts have recently issued reports on USAR shares. Canaccord Genuity Group initiated coverage on shares of USA Rare Earth in a research report on Friday, June 13th. They issued a "buy" rating and a $17.00 price target on the stock. Roth Capital reiterated a "buy" rating on shares of USA Rare Earth in a research report on Friday, June 13th. Cantor Fitzgerald initiated coverage on shares of USA Rare Earth in a research report on Friday, August 1st. They issued an "overweight" rating and a $16.00 price objective on the stock. Finally, Wall Street Zen downgraded shares of USA Rare Earth from a "hold" rating to a "sell" rating in a research report on Saturday, August 16th. Three investment analysts have rated the stock with a Buy rating, According to data from MarketBeat, USA Rare Earth has a consensus rating of "Buy" and an average target price of $16.00.

USA Rare Earth Trading Up 0.9%

The company has a fifty day moving average of $14.82.

USA Rare Earth (NASDAQ:USAR - Get Free Report) last announced its quarterly earnings data on Monday, August 11th. The company reported ($0.08) EPS for the quarter, beating analysts' consensus estimates of ($0.13) by $0.05.

Insider Activity at USA Rare Earth

In other news, Director Michael Blitzer sold 2,091,849 shares of USA Rare Earth stock in a transaction that occurred on Wednesday, August 13th. The shares were sold at an average price of $15.75, for a total transaction of $32,946,621.75. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this link. 46.60% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On USA Rare Earth

Institutional investors have recently modified their holdings of the business. Newtyn Management LLC acquired a new stake in shares of USA Rare Earth during the 1st quarter worth approximately $4,114,000. Titleist Asset Management LLC acquired a new position in USA Rare Earth during the first quarter valued at approximately $145,000. Raymond James Financial Inc. acquired a new position in USA Rare Earth during the second quarter valued at approximately $223,000. LMR Partners LLP acquired a new position in USA Rare Earth during the second quarter valued at approximately $145,000. Finally, Osaic Holdings Inc. acquired a new position in USA Rare Earth during the second quarter valued at approximately $38,000.

USA Rare Earth Company Profile

USA Rare Earth, Inc is domestic supplier of rare earth magnets and heavy rare earth elements. It is developing a vertically integrated, domestic supply chain for rare earth element magnet production, with a facility in Stillwater, Oklahoma, and mining rights to the Round Top heavy rare earth and critical minerals deposit in West Texas.

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