USA Rare Earth (NASDAQ:USAR) Trading 3% Higher – Still a Buy?

USA Rare Earth Inc. (NASDAQ:USAR) shares were up 3% during mid-day trading on Wednesday . The company traded as high as $14.67 and last traded at $14.53. Approximately 3,549,293 shares were traded during trading, a decline of 40% from the average daily volume of 5,934,597 shares. The stock had previously closed at $14.11.

Analyst Upgrades and Downgrades

Several research firms have commented on USAR. Roth Capital set a $40.00 price objective on shares of USA Rare Earth in a research note on Friday, October 10th. UBS Group reiterated a “buy” rating on shares of USA Rare Earth in a report on Monday, December 8th. Canaccord Genuity Group raised their target price on USA Rare Earth from $22.00 to $23.00 and gave the company a “buy” rating in a research report on Friday, November 7th. William Blair initiated coverage on USA Rare Earth in a research note on Monday, October 20th. They set an “outperform” rating on the stock. Finally, Benchmark restated a “buy” rating on shares of USA Rare Earth in a report on Monday, December 8th. Six equities research analysts have rated the stock with a Buy rating and one has given a Sell rating to the company. Based on data from MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and an average target price of $26.33.

USA Rare Earth Price Performance

The firm has a market capitalization of $1.93 billion, a PE ratio of -27.94 and a beta of 0.91. The company’s fifty day simple moving average is $16.90 and its 200 day simple moving average is $16.23.

USA Rare Earth (NASDAQ:USAR) last posted its quarterly earnings results on Thursday, November 6th. The company reported ($0.25) earnings per share (EPS) for the quarter, missing the consensus estimate of ($0.06) by ($0.19).

Institutional Trading of USA Rare Earth

A number of hedge funds and other institutional investors have recently made changes to their positions in USAR. Alyeska Investment Group L.P. boosted its stake in USA Rare Earth by 44.0% in the 3rd quarter. Alyeska Investment Group L.P. now owns 12,799,325 shares of the company’s stock worth $219,034,000 after purchasing an additional 3,909,455 shares during the period. Vanguard Group Inc. lifted its holdings in shares of USA Rare Earth by 9.9% in the third quarter. Vanguard Group Inc. now owns 953,198 shares of the company’s stock worth $16,385,000 after buying an additional 86,134 shares in the last quarter. Altfest L J & Co. Inc. purchased a new stake in shares of USA Rare Earth in the third quarter worth about $13,554,000. Newtyn Management LLC bought a new position in shares of USA Rare Earth in the first quarter valued at approximately $4,114,000. Finally, Geode Capital Management LLC grew its stake in USA Rare Earth by 2,437.5% during the second quarter. Geode Capital Management LLC now owns 653,290 shares of the company’s stock valued at $7,160,000 after acquiring an additional 627,545 shares in the last quarter.

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.