USA Rare Earth (NASDAQ:USAR) Shares Gap Up – Should You Buy?

USA Rare Earth Inc. (NASDAQ:USAR) shares gapped up before the market opened on Monday . The stock had previously closed at $15.37, but opened at $16.70. USA Rare Earth shares last traded at $16.5080, with a volume of 5,210,231 shares changing hands.

Wall Street Analyst Weigh In

A number of research analysts recently commented on the company. Jefferies Financial Group started coverage on USA Rare Earth in a research note on Wednesday, September 2nd. They issued a “buy” rating and a $21.00 target price for the company. Roth Capital reduced their price objective on shares of USA Rare Earth from $40.00 to $30.00 and set a “buy” rating for the company in a report on Tuesday, July 21st. Needham & Company LLC decreased their target price on shares of USA Rare Earth from $39.00 to $33.00 and set a “buy” rating on the stock in a research report on Wednesday, July 22nd. Cantor Fitzgerald reissued an “overweight” rating on shares of USA Rare Earth in a research note on Tuesday, August 11th. Finally, Benchmark reissued a “buy” rating on shares of USA Rare Earth in a research report on Wednesday, June 3rd. Ten analysts have rated the stock with a Buy rating and one has given a Sell rating to the stock. According to MarketBeat, the company has an average rating of “Moderate Buy” and a consensus price target of $33.71.

USA Rare Earth Stock Up 8.3%

The company has a market capitalization of $4.07 billion, a price-to-earnings ratio of -6.85 and a beta of 2.58. The stock’s 50-day moving average price is $16.99 and its 200-day moving average price is $19.76.

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

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently added to or reduced their stakes in the business. Allworth Financial LP bought a new position in shares of USA Rare Earth during the 2nd quarter valued at about $38,000. Ascentis Independent Advisors bought a new stake in USA Rare Earth during the 1st quarter worth approximately $27,000. Ameritas Advisory Services LLC raised its holdings in USA Rare Earth by 276.3% during the 2nd quarter. Ameritas Advisory Services LLC now owns 1,987 shares of the company’s stock worth $43,000 after buying an additional 1,459 shares during the period. First PREMIER Bank raised its holdings in USA Rare Earth by 100.0% during the 2nd quarter. First PREMIER Bank now owns 2,000 shares of the company’s stock worth $43,000 after buying an additional 1,000 shares during the period. Finally, MCF Advisors LLC bought a new position in USA Rare Earth in the second quarter valued at approximately $43,000.

USA Rare Earth Company Profile

USA Rare Earth, Inc is a U.S.-focused critical minerals company developing an integrated rare earth supply chain. Its activities center on the production of rare earth materials used in permanent magnets, electric vehicles, wind turbines, defense systems, electronics and other advanced technologies.

The company’s principal asset is the Round Top rare earth and critical minerals project in Hudspeth County, Texas. USA Rare Earth is advancing plans to mine and process ore from Round Top and produce separated rare earth oxides and other critical mineral products, including materials containing neodymium, praseodymium, dysprosium and terbium.