USA Rare Earth (NASDAQ:USAR) Stock Price Up 2.3% - Here's Why

Key Points

• USA Rare Earth shares rose 2.3% on Thursday, trading as high as $19.28 before closing at $18.87, with volume below the stock’s average daily level.
• Analyst sentiment remains broadly positive: several firms raised or reiterated bullish ratings, and the stock now carries a consensus “Moderate Buy” with a price target of $36.83.
• The company recently beat quarterly EPS estimates, reporting a loss of $0.12 per share versus the expected $0.16 loss, while it continues developing its Round Top rare-earth and lithium project in West Texas.

USA Rare Earth Inc. (NASDAQ:USAR - Get Free Report)'s share price shot up 2.3% on Thursday . The stock traded as high as $19.28 and last traded at $18.87. 8,225,118 shares were traded during mid-day trading, a decline of 54% from the average daily volume of 17,817,410 shares. The stock had previously closed at $18.45.

Wall Street Analyst Weigh In

A number of analysts have issued reports on USAR shares. Wedbush boosted their price objective on shares of USA Rare Earth from $29.00 to $35.00 and gave the company an "outperform" rating in a report on Tuesday, May 12th. Wall Street Zen upgraded USA Rare Earth from a "strong sell" rating to a "sell" rating in a research note on Saturday, May 16th. Benchmark reissued a "buy" rating on shares of USA Rare Earth in a research report on Wednesday, June 3rd. Cantor Fitzgerald restated an "overweight" rating and set a $40.00 price objective on shares of USA Rare Earth in a research note on Thursday, June 4th. Finally, Canaccord Genuity Group lifted their price objective on USA Rare Earth from $29.00 to $32.00 and gave the company a "buy" rating in a report on Tuesday, April 21st. Nine research analysts have rated the stock with a Buy rating and one has assigned a Sell rating to the stock. According to MarketBeat.com, the stock has a consensus rating of "Moderate Buy" and a consensus price target of $36.83.

USA Rare Earth Stock Up 2.3%

The stock has a market capitalization of $4.21 billion, a price-to-earnings ratio of -4.81 and a beta of 2.45. The business's 50 day simple moving average is $23.70 and its 200-day simple moving average is $20.39.

USA Rare Earth (NASDAQ:USAR - Get Free Report) last issued its earnings results on Wednesday, May 13th. The company reported ($0.12) EPS for the quarter, beating the consensus estimate of ($0.16) by $0.04. The firm had revenue of $5.70 million during the quarter. On average, analysts expect that USA Rare Earth Inc. will post -0.35 earnings per share for the current year.

Insider Buying and Selling

In other USA Rare Earth news, Director Carolyn Trabuco sold 13,000 shares of the business's stock in a transaction that occurred on Monday, June 8th. The shares were sold at an average price of $22.77, for a total transaction of $296,010.00. Following the completion of the transaction, the director directly owned 18,783 shares in the company, valued at $427,688.91. The trade was a 40.90% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. 9.10% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On USA Rare Earth

Hedge funds and other institutional investors have recently modified their holdings of the business. Tudor Investment Corp ET AL acquired a new stake in USA Rare Earth in the third quarter valued at about $8,304,000. Jennison Associates LLC acquired a new position in USA Rare Earth during the fourth quarter worth about $1,586,000. JPMorgan Chase & Co. bought a new position in shares of USA Rare Earth in the third quarter worth about $734,000. Sovran Advisors LLC boosted its stake in shares of USA Rare Earth by 119.7% in the 4th quarter. Sovran Advisors LLC now owns 489,707 shares of the company's stock valued at $5,828,000 after purchasing an additional 266,783 shares in the last quarter. Finally, Kercheville Advisors LLC boosted its stake in shares of USA Rare Earth by 272.0% in the 4th quarter. Kercheville Advisors LLC now owns 37,200 shares of the company's stock valued at $443,000 after purchasing an additional 27,200 shares in the last quarter.

USA Rare Earth Company Profile

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.

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