USA Rare Earth (NASDAQ:USAR) Trading Up 5.1% – Still a Buy?

USA Rare Earth Inc. (NASDAQ:USAR)’s stock price rose 5.1% on Monday . The stock traded as high as $30.70 and last traded at $29.43. Approximately 22,127,738 shares traded hands during trading, an increase of 19% from the average daily volume of 18,623,965 shares. The stock had previously closed at $28.01.

Key Headlines Impacting USA Rare Earth

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

• Positive Sentiment: USA Rare Earth plans to invest more than about €175 million in France through 2030, expanding its metal, alloy and magnet-making operations and deepening its role in the European rare earth supply chain. USA Rare Earth plans more than 175M euro investment in France
• Positive Sentiment: The company was selected for up to $19.3 million in DOE funding to help advance a pilot rare earth separation facility and expand U.S. processing capacity, which could strengthen its long-term growth profile and support domestic supply-chain buildout. USA Rare Earth Selected for DOE Funding to Advance REE Capacity
• Neutral Sentiment: The investment plans build on existing French initiatives, including the Less Common Metals facility at Lacq and a strategic investment in Carester SAS, underscoring management’s commitment to scaling in Europe. USA Rare Earth Expands Commitment to France with Plans for Additional Investment in the French Rare Earth Ecosystem

Analyst Ratings Changes

A number of research firms recently commented on USAR. Cantor Fitzgerald lifted their price objective on USA Rare Earth from $30.00 to $35.00 and gave the stock an “overweight” rating in a research note on Thursday, May 14th. Northland Securities started coverage on USA Rare Earth in a research note on Thursday, April 23rd. They issued an “outperform” rating and a $45.00 price target on the stock. Wedbush boosted their price target on USA Rare Earth from $29.00 to $35.00 and gave the company an “outperform” rating in a research note on Tuesday, May 12th. Wall Street Zen raised USA Rare Earth from a “strong sell” rating to a “sell” rating in a research note on Saturday, May 16th. Finally, Needham & Company LLC initiated coverage on USA Rare Earth in a research note on Monday. They issued a “buy” rating and a $39.00 price target on the stock. Nine research analysts have rated the stock with a Buy rating and one has assigned a Sell rating to the company’s stock. According to data from MarketBeat.com, USA Rare Earth currently has an average rating of “Moderate Buy” and a consensus price target of $36.00.

USA Rare Earth Trading Up 5.1%

The firm has a market capitalization of $6.56 billion, a PE ratio of -7.51 and a beta of 2.33. The business has a 50-day moving average of $21.15 and a 200 day moving average of $18.87.

USA Rare Earth (NASDAQ:USAR) last released its quarterly earnings results on Wednesday, May 13th. The company reported ($0.12) EPS for the quarter, beating analysts’ consensus estimates of ($0.16) by $0.04. The company had revenue of $5.70 million during the quarter. On average, sell-side analysts expect that USA Rare Earth Inc. will post -0.33 EPS for the current fiscal year.

Institutional Investors Weigh In On USA Rare Earth

Institutional investors and hedge funds have recently bought and sold shares of the stock. Sterling Capital Management LLC grew its stake in USA Rare Earth by 29.1% in the 1st quarter. Sterling Capital Management LLC now owns 3,676 shares of the company’s stock valued at $56,000 after purchasing an additional 829 shares during the period. Pier 88 Investment Partners LLC grew its stake in USA Rare Earth by 2.5% in the 4th quarter. Pier 88 Investment Partners LLC now owns 34,700 shares of the company’s stock valued at $413,000 after purchasing an additional 840 shares during the period. SBI Securities Co. Ltd. grew its stake in USA Rare Earth by 20.4% in the 4th quarter. SBI Securities Co. Ltd. now owns 5,522 shares of the company’s stock valued at $66,000 after purchasing an additional 936 shares during the period. Advisory Services Network LLC grew its stake in USA Rare Earth by 2.0% in the 3rd quarter. Advisory Services Network LLC now owns 52,366 shares of the company’s stock valued at $900,000 after purchasing an additional 1,032 shares during the period. Finally, National Bank of Canada FI grew its stake in USA Rare Earth by 110.0% in the 3rd quarter. National Bank of Canada FI now owns 2,100 shares of the company’s stock valued at $36,000 after purchasing an additional 1,100 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.