USA Rare Earth (NASDAQ:USAR) Stock Price Down 2.8% - Here's Why

Key Points

• USA Rare Earth Inc. (NASDAQ:USAR) experienced a 2.8% decline in stock price, trading between $25.63 and $27.73, with trading volume significantly increasing to 19.8 million shares.
• Recent analyst ratings show a mixed outlook, with Wall Street Zen downgrading the stock to "sell," while Cantor Fitzgerald set an "overweight" rating with a $16 price target.
• Institutional investors have shown interest, with several hedge funds establishing new positions, including Newtyn Management LLC, which invested approximately $4.1 million in the first quarter.

USA Rare Earth Inc. (NASDAQ:USAR - Get Free Report)'s share price traded down 2.8% during mid-day trading on Friday . The stock traded as low as $25.63 and last traded at $27.73. 19,858,424 shares changed hands during trading, an increase of 331% from the average session volume of 4,606,970 shares. The stock had previously closed at $28.54.

Analyst Ratings Changes

USAR has been the subject of a number of recent analyst reports. Wall Street Zen downgraded USA Rare Earth from a "hold" rating to a "sell" rating in a research note on Saturday, August 16th. Cantor Fitzgerald began coverage on USA Rare Earth in a report on Friday, August 1st. They set an "overweight" rating and a $16.00 price objective on the stock. Weiss Ratings reissued a "sell (d-)" rating on shares of USA Rare Earth in a report on Wednesday, October 8th. Canaccord Genuity Group raised their price target on USA Rare Earth from $21.00 to $22.00 and gave the company a "buy" rating in a report on Tuesday, September 30th. Finally, Roth Capital set a $40.00 price target on USA Rare Earth in a report on Friday, October 10th. Three investment analysts have rated the stock with a Buy rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat.com, USA Rare Earth currently has a consensus rating of "Moderate Buy" and a consensus price target of $26.00.

USA Rare Earth Price Performance

The firm's 50-day moving average price is $18.91.

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 the consensus estimate of ($0.13) by $0.05.

Insider Activity at USA Rare Earth

In other news, Director Michael Blitzer sold 2,091,849 shares of the stock in a transaction dated Wednesday, August 13th. The stock was sold at an average price of $15.75, for a total transaction of $32,946,621.75. The sale was disclosed in a document filed with the SEC, which is available through the SEC website. Company insiders own 46.60% of the company's stock.

Hedge Funds Weigh In On USA Rare Earth

Several institutional investors and hedge funds have recently bought and sold shares of USAR. Titleist Asset Management LLC bought a new position in USA Rare Earth during the 1st quarter worth approximately $145,000. Newtyn Management LLC bought a new position in USA Rare Earth during the 1st quarter worth approximately $4,114,000. International Assets Investment Management LLC bought a new position in USA Rare Earth during the 2nd quarter worth approximately $250,000. MMCAP International Inc. SPC bought a new position in USA Rare Earth during the 2nd quarter worth approximately $261,000. Finally, Pier 88 Investment Partners LLC bought a new position in USA Rare Earth during the 2nd quarter worth approximately $588,000.

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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