USA Rare Earth (NASDAQ:USAR) Trading Down 7% – What’s Next?

Shares of USA Rare Earth Inc. (NASDAQ:USAR) dropped 7% on Wednesday . The stock traded as low as $12.93 and last traded at $13.07. 13,244,118 shares traded hands during mid-day trading, a decline of 22% from the average session volume of 17,071,629 shares. The stock had previously closed at $14.06.

Wall Street Analyst Weigh In

A number of analysts have recently weighed in on the stock. Canaccord Genuity Group raised their price target on shares of USA Rare Earth from $29.00 to $32.00 and gave the stock a “buy” rating in a research report on Tuesday, April 21st. Weiss Ratings upgraded USA Rare Earth from a “sell (d-)” rating to a “sell (d+)” rating in a research report on Thursday, May 14th. Wall Street Zen upgraded shares of USA Rare Earth from a “strong sell” rating to a “sell” rating in a research note on Saturday, May 16th. Roth Capital cut their price objective on shares of USA Rare Earth from $40.00 to $30.00 and set a “buy” rating on the stock in a research note on Tuesday, July 21st. Finally, Northland Securities assumed coverage on USA Rare Earth in a research report on Thursday, April 23rd. They issued an “outperform” rating and a $45.00 target price for the company. Nine equities research analysts have rated the stock with a Buy rating and one has issued a Sell rating to the company’s stock. According to MarketBeat.com, the stock has a consensus rating of “Moderate Buy” and an average target price of $35.83.

USA Rare Earth Stock Down 7.0%

The firm’s 50-day moving average price is $21.28 and its two-hundred day moving average price is $20.59. The firm has a market capitalization of $2.92 billion, a PE ratio of -3.33 and a beta of 2.45.

USA Rare Earth (NASDAQ:USAR) last issued its quarterly earnings results on Wednesday, May 13th. The company reported ($0.12) earnings per share for the quarter, beating analysts’ consensus estimates of ($0.16) by $0.04. The business had revenue of $5.70 million for the quarter. Equities research analysts forecast that USA Rare Earth Inc. will post -0.35 EPS for the current year.

Insider Buying and Selling

In other USA Rare Earth news, Director Carolyn Trabuco sold 13,000 shares of USA Rare Earth stock in a transaction dated Monday, June 8th. The stock was sold at an average price of $22.77, for a total transaction of $296,010.00. Following the transaction, the director owned 18,783 shares of the company’s stock, valued at $427,688.91. The trade was a 40.90% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available through this hyperlink. Insiders own 9.10% of the company’s stock.

Institutional Trading of USA Rare Earth

A number of hedge funds have recently made changes to their positions in the stock. NewEdge Advisors LLC grew its position in USA Rare Earth by 158.2% during the second quarter. NewEdge Advisors LLC now owns 2,324 shares of the company’s stock valued at $25,000 after purchasing an additional 1,424 shares in the last quarter. Raymond James Financial Inc. acquired a new position in USA Rare Earth in the 2nd quarter valued at approximately $223,000. Lighthouse Investment Partners LLC purchased a new stake in USA Rare Earth in the 2nd quarter worth approximately $329,000. Bank of America Corp DE lifted its position in USA Rare Earth by 465.7% in the 2nd quarter. Bank of America Corp DE now owns 242,726 shares of the company’s stock worth $2,659,000 after buying an additional 199,819 shares in the last quarter. Finally, LMR Partners LLP acquired a new stake in shares of USA Rare Earth during the 2nd quarter valued at $145,000.

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.