USA Rare Earth (NASDAQ:USAR) Shares Down 5.9% – Should You Sell?

USA Rare Earth Inc. (NASDAQ:USAR)’s share price fell 5.9% on Thursday. The company traded as low as $9.41 and last traded at $9.63. Approximately 12,548,502 shares were traded during trading, a decline of 21% from the average daily volume of 15,918,019 shares. The stock had previously closed at $10.23.

Analyst Upgrades and Downgrades

USAR has been the subject of several recent analyst reports. Weiss Ratings cut USA Rare Earth from a “sell (d)” rating to a “sell (d-)” rating in a research note on Tuesday, August 11th. Needham & Company LLC reduced their target price on USA Rare Earth from $39.00 to $33.00 and set a “buy” rating on the stock in a report on Wednesday, July 22nd. Wall Street Zen lowered USA Rare Earth from a “sell” rating to a “strong sell” rating in a research note on Saturday. Jefferies Financial Group started coverage on USA Rare Earth in a report on Wednesday, September 2nd. They set a “buy” rating and a $21.00 price target for the company. Finally, Cantor Fitzgerald restated an “overweight” rating on shares of USA Rare Earth in a research report on Tuesday, August 11th. One equities research analyst has rated the stock with a Strong Buy rating, nine have assigned a Buy rating and one has issued a Sell rating to the stock. According to MarketBeat, the company presently has an average rating of “Moderate Buy” and an average price target of $33.71.

USA Rare Earth Trading Down 3.1%

The company has a market capitalization of $2.28 billion, a price-to-earnings ratio of -3.84 and a beta of 2.66. The business’s 50 day moving average price is $15.12 and its two-hundred day moving average price is $18.89.

USA Rare Earth (NASDAQ:USAR) last released its quarterly earnings data on Monday, August 10th. The company reported ($0.15) earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of ($0.07) by ($0.08). The company had revenue of $5.82 million for the quarter. Analysts expect that USA Rare Earth Inc. will post -0.62 EPS for the current year.

Institutional Trading of USA Rare Earth

A number of hedge funds and other institutional investors have recently modified their holdings of the stock. Corecam Pte. Ltd. lifted its stake in shares of USA Rare Earth by 33.0% in the 3rd quarter. Corecam Pte. Ltd. now owns 19,606 shares of the company’s stock valued at $276,000 after acquiring an additional 4,869 shares during the last quarter. Wedbush Securities Inc. acquired a new stake in shares of USA Rare Earth during the 3rd quarter valued at $247,000. Sterling Capital Management LLC grew its position in USA Rare Earth by 955.3% during the 3rd quarter. Sterling Capital Management LLC now owns 7,197 shares of the company’s stock worth $101,000 after acquiring an additional 6,515 shares during the last quarter. Credit Capital Investments LLC bought a new stake in USA Rare Earth during the 3rd quarter worth $324,000. Finally, Brookstone Capital Management grew its position in USA Rare Earth by 48.0% during the 3rd quarter. Brookstone Capital Management now owns 16,259 shares of the company’s stock worth $229,000 after acquiring an additional 5,275 shares during the last quarter.

About USA Rare Earth

USA Rare Earth, Inc (NASDAQ:USAR) is developing an integrated domestic supply chain for rare earth and other critical minerals. The company’s activities include the exploration and planned extraction of mineral resources, processing and separation of rare earth elements, and the production of sintered neodymium-iron-boron (NdFeB) permanent magnets used in electric vehicles, wind turbines, defense systems, electronics and other advanced technologies.

The company’s flagship asset is the Round Top Mountain project in Hudspeth County, Texas.