USA Rare Earth (NASDAQ:USAR) Trading Up 11% – Should You Buy?

Shares of USA Rare Earth Inc. (NASDAQ:USAR) rose 11% during trading on Thursday . The company traded as high as $22.65 and last traded at $22.56. Approximately 13,928,433 shares changed hands during mid-day trading, a decline of 25% from the average daily volume of 18,564,660 shares. The stock had previously closed at $20.33.

Analyst Upgrades and Downgrades

A number of analysts have recently weighed in on USAR shares. Needham & Company LLC began coverage on USA Rare Earth in a research report on Monday, June 1st. They set a “buy” rating and a $39.00 price target on the stock. Roth Mkm restated a “buy” rating on shares of USA Rare Earth in a research report on Thursday, June 4th. Wall Street Zen upgraded USA Rare Earth from a “strong sell” rating to a “sell” rating in a research note on Saturday, May 16th. Northland Securities started coverage on USA Rare Earth in a research report on Thursday, April 23rd. They issued an “outperform” rating and a $45.00 target price on the stock. Finally, Canaccord Genuity Group raised their target price on USA Rare Earth from $29.00 to $32.00 and gave the company a “buy” rating in a research note on Tuesday, April 21st. Nine equities research analysts have rated the stock with a Buy rating and one has given a Sell rating to the stock. According to MarketBeat, the stock has a consensus rating of “Moderate Buy” and an average target price of $36.83.

USA Rare Earth Stock Performance

The firm has a market capitalization of $5.03 billion, a P/E ratio of -5.76 and a beta of 2.33. The business has a fifty day moving average of $22.56 and a 200-day moving average of $19.44.

USA Rare Earth (NASDAQ:USAR) last announced its earnings results on Wednesday, May 13th. The company reported ($0.12) earnings per share for the quarter, beating the consensus estimate of ($0.16) by $0.04. The business had revenue of $5.70 million for the quarter. On average, equities research analysts forecast that USA Rare Earth Inc. will post -0.35 earnings per share for the current fiscal year.

Insider Activity at USA Rare Earth

In related news, Director Carolyn Trabuco sold 13,000 shares of USA Rare Earth stock in a transaction dated Monday, June 8th. The shares were sold at an average price of $22.77, for a total transaction of $296,010.00. Following the sale, 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 through the SEC website. Company insiders own 9.10% of the company’s stock.

Hedge Funds Weigh In On USA Rare Earth

Several large investors have recently bought and sold shares of USAR. Janus Henderson Group PLC raised its position in shares of USA Rare Earth by 32.2% during the 1st quarter. Janus Henderson Group PLC now owns 34,456 shares of the company’s stock worth $521,000 after buying an additional 8,387 shares in the last quarter. California State Teachers Retirement System boosted its holdings in shares of USA Rare Earth by 150.9% in the first quarter. California State Teachers Retirement System now owns 116,048 shares of the company’s stock valued at $1,756,000 after acquiring an additional 69,787 shares in the last quarter. Royal Bank of Canada boosted its holdings in shares of USA Rare Earth by 46.5% in the first quarter. Royal Bank of Canada now owns 98,399 shares of the company’s stock valued at $1,489,000 after acquiring an additional 31,245 shares in the last quarter. Encompass Capital Advisors LLC acquired a new position in shares of USA Rare Earth during the first quarter valued at approximately $7,038,000. Finally, The Manufacturers Life Insurance Company increased its stake in shares of USA Rare Earth by 106.4% during the first quarter. The Manufacturers Life Insurance Company now owns 97,802 shares of the company’s stock valued at $1,480,000 after acquiring an additional 50,409 shares during the period.

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.