USA Rare Earth (NASDAQ:USAR) Shares Down 4.6% – Time to Sell?

Shares of USA Rare Earth Inc. (NASDAQ:USAR) dropped 4.6% during trading on Tuesday. The company traded as low as $11.26 and last traded at $11.28. Approximately 13,662,715 shares were traded during mid-day trading, a decline of 15% from the average session volume of 15,993,438 shares. The stock had previously closed at $11.82.

Wall Street Analyst Weigh In

USAR has been the subject of several recent analyst reports. Needham & Company LLC cut their price objective on USA Rare Earth from $39.00 to $33.00 and set a “buy” rating for the company in a report on Wednesday, July 22nd. Weiss Ratings cut USA Rare Earth from a “sell (d)” rating to a “sell (d-)” rating in a report on Tuesday, August 11th. Roth Capital cut 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. Jefferies Financial Group initiated coverage on USA Rare Earth in a research report on Wednesday, September 2nd. They set a “buy” rating and a $21.00 target price for the company. Finally, Cantor Fitzgerald reiterated an “overweight” rating on shares of USA Rare Earth in a research report on Tuesday, August 11th. Ten analysts have rated the stock with a Buy rating and one has given a Sell rating to the company’s stock. Based on data from MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and a consensus target price of $33.71.

USA Rare Earth Stock Performance

The firm has a market cap of $2.76 billion, a price-to-earnings ratio of -4.64 and a beta of 2.66. The business has a fifty day simple moving average of $16.59 and a 200-day simple moving average of $19.25.

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

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently modified their holdings of the company. GAMMA Investing LLC lifted its stake in shares of USA Rare Earth by 55.2% in the 3rd quarter. GAMMA Investing LLC now owns 5,738 shares of the company’s stock valued at $81,000 after purchasing an additional 2,042 shares during the period. Overbrook Management Corp acquired a new position in USA Rare Earth during the 3rd quarter valued at about $3,145,000. Farther Finance Advisors LLC grew its holdings in USA Rare Earth by 41.7% during the third quarter. Farther Finance Advisors LLC now owns 18,829 shares of the company’s stock worth $265,000 after buying an additional 5,540 shares in the last quarter. MCF Advisors LLC purchased a new stake in shares of USA Rare Earth in the second quarter valued at about $43,000. Finally, RFG Advisory LLC boosted its stake in shares of USA Rare Earth by 459.1% in the 2nd quarter. RFG Advisory LLC now owns 59,835 shares of the company’s stock worth $1,291,000 after buying an additional 49,133 shares during the last quarter.

About USA Rare Earth

USA Rare Earth, Inc is a U.S.-based critical minerals company focused on developing a domestic, vertically integrated supply chain for rare earth elements and rare earth permanent magnets. The company’s activities span the planned mining and processing of rare earth materials and the manufacture of neodymium-iron-boron (NdFeB) magnets, which are used in electric vehicles, renewable energy systems, electronics, aerospace and defense applications.

The company’s principal resource project is the Round Top rare earth and critical minerals project in Hudspeth County, Texas.