USA Rare Earth (NASDAQ:USAR) Trading 18.6% Higher - Here's Why

Key Points

• USA Rare Earth Inc. experienced a significant stock price increase of 18.6%, closing at $38.68 after trading as high as $43.98.
• Several analysts have conflicting views on the stock, with Roth Capital setting a price target of $40.00 and Weiss Ratings downgrading it to "sell." The consensus rating is currently "Moderate Buy" with an average price target of $26.00.
• Insider transactions include Director Michael Blitzer selling over 2 million shares at an average price of $15.75, indicating significant insider activity within the company.

USA Rare Earth Inc. (NASDAQ:USAR - Get Free Report)'s stock price shot up 18.6% during trading on Monday . The stock traded as high as $43.98 and last traded at $38.68. 48,468,043 shares were traded during trading, an increase of 1,094% from the average session volume of 4,058,832 shares. The stock had previously closed at $32.61.

Wall Street Analysts Forecast Growth

Several research firms recently commented on USAR. Roth Capital set a $40.00 price objective on shares of USA Rare Earth in a research note on Friday. Weiss Ratings reissued a "sell (d-)" rating on shares of USA Rare Earth in a research note on Wednesday, October 8th. Canaccord Genuity Group boosted their price objective on shares of USA Rare Earth from $21.00 to $22.00 and gave the stock a "buy" rating in a research note on Tuesday, September 30th. Cantor Fitzgerald began coverage on shares of USA Rare Earth in a research note on Friday, August 1st. They set an "overweight" rating and a $16.00 price objective on the stock. Finally, Wall Street Zen lowered shares of USA Rare Earth from a "hold" rating to a "sell" rating in a research note on Saturday, August 16th. Three investment analysts have rated the stock with a Buy rating and one has given a Sell rating to the stock. According to MarketBeat.com, USA Rare Earth presently has a consensus rating of "Moderate Buy" and an average price target of $26.00.

USA Rare Earth Stock Performance

The stock has a 50 day moving average price of $17.27.

USA Rare Earth (NASDAQ:USAR - Get Free Report) last announced its quarterly earnings results on Monday, August 11th. The company reported ($0.08) earnings per share (EPS) for the quarter, topping analysts' consensus estimates 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 company's 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 transaction was disclosed in a legal filing with the SEC, which is accessible through this link. 46.60% of the stock is currently owned by insiders.

Hedge Funds Weigh In On USA Rare Earth

Several hedge funds and other institutional investors have recently bought and sold shares of the stock. NewEdge Advisors LLC lifted its stake in USA Rare Earth by 158.2% during the 2nd quarter. NewEdge Advisors LLC now owns 2,324 shares of the company's stock valued at $25,000 after acquiring an additional 1,424 shares during the period. SBI Securities Co. Ltd. lifted its stake in USA Rare Earth by 10,448.0% during the 2nd quarter. SBI Securities Co. Ltd. now owns 2,637 shares of the company's stock valued at $29,000 after acquiring an additional 2,612 shares during the period. Osaic Holdings Inc. bought a new position in USA Rare Earth during the 2nd quarter valued at about $38,000. Titleist Asset Management LLC lifted its stake in USA Rare Earth by 20.2% during the 2nd quarter. Titleist Asset Management LLC now owns 29,380 shares of the company's stock valued at $322,000 after acquiring an additional 4,930 shares during the period. Finally, LMR Partners LLP bought a new position in USA Rare Earth during the 2nd quarter valued at about $145,000.

About USA Rare Earth

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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