USA Rare Earth (NASDAQ:USAR) Stock Price Down 7.4% – Here’s Why

USA Rare Earth Inc. (NASDAQ:USAR)’s stock price fell 7.4% during trading on Wednesday . The company traded as low as $19.95 and last traded at $19.98. Approximately 13,100,659 shares were traded during mid-day trading, a decline of 28% from the average session volume of 18,107,990 shares. The stock had previously closed at $21.58.

Analyst Upgrades and Downgrades

Several equities research analysts have weighed in on the company. Weiss Ratings raised USA Rare Earth from a “sell (d-)” rating to a “sell (d+)” rating in a research note on Thursday, May 14th. Wall Street Zen raised USA Rare Earth from a “strong sell” rating to a “sell” rating in a research note on Saturday, May 16th. Northland Securities assumed coverage on USA Rare Earth in a report on Thursday, April 23rd. They issued an “outperform” rating and a $45.00 target price for the company. Benchmark reissued a “buy” rating on shares of USA Rare Earth in a research report on Wednesday, June 3rd. Finally, Needham & Company LLC began coverage on USA Rare Earth in a report on Monday, June 1st. They set a “buy” rating and a $39.00 price target on the stock. Nine investment analysts have rated the stock with a Buy rating and one has issued a Sell rating to the company’s stock. Based on data from MarketBeat, USA Rare Earth presently has a consensus rating of “Moderate Buy” and an average price target of $36.83.

USA Rare Earth Stock Performance

The company has a market capitalization of $4.27 billion, a P/E ratio of -4.89 and a beta of 2.45. The firm’s fifty day moving average is $24.09 and its 200 day moving average is $20.26.

USA Rare Earth (NASDAQ:USAR) last announced its quarterly earnings data on Wednesday, May 13th. The company reported ($0.12) earnings per share (EPS) for the quarter, topping the consensus estimate of ($0.16) by $0.04. The firm had revenue of $5.70 million during the quarter. On average, analysts forecast that USA Rare Earth Inc. will post -0.35 EPS for the current year.

Insider Activity

In related news, Director Carolyn Trabuco sold 13,000 shares of the firm’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 transaction of $296,010.00. Following the completion of the sale, the director directly owned 18,783 shares of the company’s stock, valued at approximately $427,688.91. This trade represents a 40.90% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Corporate insiders own 9.10% of the company’s stock.

Hedge Funds Weigh In On USA Rare Earth

Several hedge funds have recently bought and sold shares of the business. Larson Financial Group LLC lifted its position in shares of USA Rare Earth by 217.5% during the fourth quarter. Larson Financial Group LLC now owns 2,092 shares of the company’s stock worth $25,000 after purchasing an additional 1,433 shares during the last quarter. NewEdge Advisors LLC grew its holdings in shares of 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 purchasing an additional 1,424 shares during the last quarter. Ascentis Independent Advisors purchased a new position in USA Rare Earth in the 1st quarter worth about $27,000. Center for Financial Planning Inc. purchased a new position in USA Rare Earth in the 4th quarter worth about $28,000. Finally, Havemeyer Place LP bought a new stake in USA Rare Earth during the 4th quarter valued at about $33,000.

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.