USA Rare Earth (NASDAQ:USAR) Rating Increased to Strong-Buy at Wedbush

Wedbush upgraded shares of USA Rare Earth (NASDAQ:USAR) to a strong-buy rating in a research report report published on Monday, MarketBeat reports.

Other research analysts have also issued reports about the company. Benchmark assumed coverage on USA Rare Earth in a research report on Wednesday, January 21st. They set a “buy” rating for the company. Cantor Fitzgerald raised their price target on USA Rare Earth from $28.00 to $35.00 and gave the stock an “overweight” rating in a research report on Friday, January 30th. Canaccord Genuity Group lowered their price target on USA Rare Earth from $33.00 to $29.00 and set a “buy” rating for the company in a research report on Tuesday, March 31st. Weiss Ratings restated a “sell (d-)” rating on shares of USA Rare Earth in a research report on Friday, March 27th. Finally, Roth Mkm set a $30.00 price objective on shares of USA Rare Earth in a research note on Monday. One equities research analyst has rated the stock with a Strong Buy rating, six have given a Buy rating and one has issued a Sell rating to the company’s stock. According to data from MarketBeat, USA Rare Earth presently has a consensus rating of “Moderate Buy” and a consensus price target of $30.75.

USA Rare Earth Price Performance

Shares of USAR stock opened at $22.58 on Monday. The firm has a market cap of $4.92 billion, a PE ratio of -7.53 and a beta of 1.34. The company has a 50-day moving average of $18.20 and a two-hundred day moving average of $18.85. USA Rare Earth has a 1-year low of $8.00 and a 1-year high of $43.98.

USA Rare Earth (NASDAQ:USAR) last announced its earnings results on Monday, March 30th. The company reported ($0.19) earnings per share for the quarter, missing the consensus estimate of ($0.12) by ($0.07). The business had revenue of $1.64 million for the quarter. Sell-side analysts anticipate that USA Rare Earth will post -0.25 EPS for the current fiscal year.

Insiders Place Their Bets

In related news, Director Michael Blitzer bought 100,000 shares of the firm’s stock in a transaction that occurred on Thursday, January 29th. The stock was purchased at an average cost of $21.44 per share, for a total transaction of $2,144,000.00. Following the completion of the acquisition, the director owned 847,500 shares in the company, valued at approximately $18,170,400. This trade represents a 13.38% increase in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this link. Also, Director Carolyn Trabuco bought 1,300 shares of the firm’s stock in a transaction that occurred on Thursday, January 29th. The stock was bought at an average price of $22.60 per share, with a total value of $29,380.00. Following the completion of the acquisition, the director owned 1,300 shares of the company’s stock, valued at $29,380. This trade represents a ∞ increase in their position. Additional details regarding this purchase are available in the official SEC disclosure. Company insiders own 46.60% of the company’s stock.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently bought and sold shares of the stock. Larson Financial Group LLC boosted its holdings in USA Rare Earth by 217.5% in the fourth quarter. Larson Financial Group LLC now owns 2,092 shares of the company’s stock valued at $25,000 after purchasing an additional 1,433 shares during the period. NewEdge Advisors LLC lifted its stake in USA Rare Earth by 158.2% in the second quarter. NewEdge Advisors LLC now owns 2,324 shares of the company’s stock worth $25,000 after acquiring an additional 1,424 shares during the last quarter. Center for Financial Planning Inc. purchased a new position in USA Rare Earth in the fourth quarter worth approximately $28,000. Havemeyer Place LP purchased a new position in USA Rare Earth in the fourth quarter worth approximately $33,000. Finally, National Bank of Canada FI lifted its stake in USA Rare Earth by 110.0% in the third quarter. National Bank of Canada FI now owns 2,100 shares of the company’s stock worth $36,000 after acquiring an additional 1,100 shares during the last quarter.

USA Rare Earth News Roundup

Here are the key news stories impacting USA Rare Earth this week:

• Positive Sentiment: Acquisition secures a producing, integrated asset (mine + processing) and long‑term offtake that strengthens USAR’s mine‑to‑magnet strategy — helps de‑risk supply chains vs. Asia. USA Rare Earth Announces Definitive Agreement to Acquire Serra Verde Group for ~$2.8 Billion, Creating the Global Rare Earth Leader
• Positive Sentiment: Geopolitical tailwind: the deal is being promoted as a way to reduce Western reliance on China for magnetic rare earths, a narrative that attracts policy‑sensitive investors and potential government support. USA Rare Earth to buy Brazil’s Serra Verde for $2.8 billion to build supply outside Asia
• Positive Sentiment: Broker reaction: Wedbush initiated coverage with an Outperform and $29 price target, providing an analyst endorsement that can support further upside. Update: Wedbush Initiates USA Rare Earth at Outperform With $29 Price Target
• Neutral Sentiment: Market and sector interest elevated: heavy call‑option activity and above‑average trading volume suggest short‑term speculative and hedged positioning around the deal. (Options flow and volume reported in market coverage.)
• Neutral Sentiment: Competitive context: analysts and commentary are comparing USAR to other vertically integrated rare‑earth plays (e.g., MP Materials), weighing which firm can deliver mine‑to‑magnet scale first. MP Materials vs. USA Rare Earth: What’s the Better Long-Term Play?
• Negative Sentiment: Financing and dilution risk: the transaction calls for ~$300M cash plus ~126.85M newly issued USAR shares, creating sizable share dilution that could pressure near‑term per‑share metrics. Rare Earth Trade Is Back: USAR, MP Stocks Climb — Here’s Why
• Negative Sentiment: Execution and earnings strain: USAR is still loss‑making (recent quarterly EPS miss) and integrating a large foreign acquisition adds operational and permitting risk that could weigh results and sentiment if synergies slip. (See recent company filings and quarterly results.)

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.