Head-To-Head Survey: USA Rare Earth (USAR) vs. The Competition

USA Rare Earth (NASDAQ:USAR) is one of 103 publicly-traded companies in the “MINING – MISC” industry, but how does it compare to its rivals? We will compare USA Rare Earth to similar businesses based on the strength of its risk, analyst recommendations, valuation, institutional ownership, dividends, earnings and profitability.

Profitability

This table compares USA Rare Earth and its rivals’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
USA Rare Earth	N/A	-16.58%	-16.23%
USA Rare Earth Competitors	-853.98%	-10.21%	-3.54%

Insider & Institutional Ownership

35.5% of shares of all “MINING – MISC” companies are held by institutional investors. 46.6% of USA Rare Earth shares are held by company insiders. Comparatively, 9.5% of shares of all “MINING – MISC” companies are held by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company will outperform the market over the long term.

Valuation and Earnings

This table compares USA Rare Earth and its rivals top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
USA Rare Earth	N/A	$7.90 million	-27.73
USA Rare Earth Competitors	$10.01 billion	$439.04 million	-16.21

USA Rare Earth’s rivals have higher revenue and earnings than USA Rare Earth. USA Rare Earth is trading at a lower price-to-earnings ratio than its rivals, indicating that it is currently more affordable than other companies in its industry.

Volatility and Risk

USA Rare Earth has a beta of 0.77, meaning that its stock price is 23% less volatile than the S&P 500. Comparatively, USA Rare Earth’s rivals have a beta of 0.61, meaning that their average stock price is 39% less volatile than the S&P 500.

Analyst Recommendations

This is a breakdown of current ratings and recommmendations for USA Rare Earth and its rivals, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
USA Rare Earth	1	0	4	0	2.60
USA Rare Earth Competitors	750	1842	3521	170	2.50

USA Rare Earth currently has a consensus price target of $26.33, suggesting a potential upside of 82.62%. As a group, “MINING – MISC” companies have a potential upside of 17.26%. Given USA Rare Earth’s stronger consensus rating and higher possible upside, analysts plainly believe USA Rare Earth is more favorable than its rivals.

Summary

USA Rare Earth rivals beat USA Rare Earth on 7 of the 13 factors compared.

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. The company was founded in May 2019 and is headquartered in Stillwater, OK.