USA Rare Earth (NASDAQ:USAR) Shares Up 3.8% – Should You Buy?

USA Rare Earth Inc. (NASDAQ:USAR) was up 3.8% during trading on Wednesday . The stock traded as high as $18.66 and last traded at $18.45. Approximately 9,283,685 shares were traded during trading, a decline of 48% from the average daily volume of 17,896,707 shares. The stock had previously closed at $17.78.

Analyst Upgrades and Downgrades

Several equities analysts have issued reports on the stock. Wall Street Zen raised shares of USA Rare Earth from a “strong sell” rating to a “sell” rating in a report on Saturday, May 16th. Weiss Ratings raised USA Rare Earth from a “sell (d-)” rating to a “sell (d+)” rating in a research report on Thursday, May 14th. Benchmark restated a “buy” rating on shares of USA Rare Earth in a research note on Wednesday, June 3rd. Needham & Company LLC started coverage on USA Rare Earth in a research note on Monday, June 1st. They issued a “buy” rating and a $39.00 price target for the company. Finally, Wedbush raised their price target on USA Rare Earth from $29.00 to $35.00 and gave the stock an “outperform” rating in a report on Tuesday, May 12th. Nine investment analysts have rated the stock with a Buy rating and one has issued a Sell rating to the company’s stock. According to data from MarketBeat.com, USA Rare Earth currently has a consensus rating of “Moderate Buy” and an average price target of $36.83.

USA Rare Earth Price Performance

The stock’s fifty day simple moving average is $23.63 and its 200-day simple moving average is $20.42. The firm has a market cap of $4.12 billion, a PE ratio of -4.71 and a beta of 2.45.

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

Insider Activity at USA Rare Earth

In related news, Director Carolyn Trabuco sold 13,000 shares of the company’s stock in a transaction that occurred on Monday, June 8th. The stock was sold at an average price of $22.77, for a total value of $296,010.00. Following the sale, the director owned 18,783 shares in the company, valued at $427,688.91. This represents a 40.90% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. 9.10% of the stock is owned by company insiders.

Institutional Trading of USA Rare Earth

Several institutional investors and hedge funds have recently bought and sold shares of USAR. Handelsbanken Fonder AB purchased a new stake in shares of USA Rare Earth in the 2nd quarter valued at $1,612,000. Redhawk Wealth Advisors Inc. purchased a new position in shares of USA Rare Earth during the second quarter worth $200,000. FNY Investment Advisers LLC lifted its position in USA Rare Earth by 51,400.0% during the second quarter. FNY Investment Advisers LLC now owns 30,900 shares of the company’s stock valued at $666,000 after purchasing an additional 30,840 shares during the period. GK Wealth Management LLC acquired a new position in USA Rare Earth during the second quarter valued at $531,000. Finally, GAMMA Investing LLC lifted its position in USA Rare Earth by 98.9% during the second quarter. GAMMA Investing LLC now owns 3,696 shares of the company’s stock valued at $80,000 after purchasing an additional 1,838 shares during the period.

About USA Rare Earth

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.