USA Rare Earth (NASDAQ:USAR) Stock Price Down 7.6% - Time to Sell?

Key Points

• USA Rare Earth Inc. (NASDAQ:USAR) shares dropped by 7.6% on Tuesday, closing at $13.79, following a decline in trading volume.
• Analysts have mixed ratings for the stock, with Roth Capital maintaining a "buy" rating while Wall Street Zen downgraded it to a "sell", indicating a divided outlook.
• Insider transactions revealed that Director Michael Blitzer sold over 2 million shares for approximately $32.9 million, raising concerns about confidence in the stock.

USA Rare Earth Inc. (NASDAQ:USAR - Get Free Report) shares traded down 7.6% on Tuesday . The stock traded as low as $13.77 and last traded at $13.79. 2,078,168 shares changed hands during mid-day trading, a decline of 17% from the average session volume of 2,497,407 shares. The stock had previously closed at $14.92.

Wall Street Analyst Weigh In

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

USA Rare Earth Stock Performance

The business has a fifty day moving average price of $13.52.

USA Rare Earth (NASDAQ:USAR - Get Free Report) last issued its earnings results on Monday, August 11th. The company reported ($0.08) earnings per share (EPS) for the quarter, topping the consensus estimate of ($0.13) by $0.05.

Insider Transactions at USA Rare Earth

In other USA Rare Earth news, Director Michael Blitzer sold 2,091,849 shares of the stock in a transaction dated 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 SEC, which is available through this hyperlink. 46.60% of the stock is currently owned by insiders.

Institutional Trading of USA Rare Earth

A number of institutional investors have recently modified their holdings of USAR. Titleist Asset Management LLC bought a new stake in shares of USA Rare Earth in the 1st quarter valued at about $145,000. Newtyn Management LLC bought a new stake in shares of USA Rare Earth in the 1st quarter valued at about $4,114,000. International Assets Investment Management LLC bought a new stake in shares of USA Rare Earth in the 2nd quarter valued at about $250,000. MMCAP International Inc. SPC bought a new stake in shares of USA Rare Earth in the 2nd quarter valued at about $261,000. Finally, Pier 88 Investment Partners LLC bought a new stake in shares of USA Rare Earth in the 2nd quarter valued at about $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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