USA Rare Earth (NASDAQ:USAR) Shares Down 3.7% – Should You Sell?

Shares of USA Rare Earth Inc. (NASDAQ:USAR) dropped 3.7% during trading on Wednesday . The stock traded as low as $26.05 and last traded at $26.70. Approximately 14,545,025 shares traded hands during mid-day trading, a decline of 22% from the average daily volume of 18,662,930 shares. The stock had previously closed at $27.73.

Analyst Upgrades and Downgrades

USAR has been the topic of several recent analyst reports. Wedbush upped their price objective on shares of USA Rare Earth from $29.00 to $35.00 and gave the stock an “outperform” rating in a report on Tuesday, May 12th. Northland Securities initiated coverage on shares of USA Rare Earth in a report on Thursday, April 23rd. They issued an “outperform” rating and a $45.00 price objective on the stock. Canaccord Genuity Group upped their price objective on shares of USA Rare Earth from $29.00 to $32.00 and gave the stock a “buy” rating in a report on Tuesday, April 21st. Cantor Fitzgerald upped their price objective on shares of USA Rare Earth from $30.00 to $35.00 and gave the stock an “overweight” rating in a report on Thursday, May 14th. Finally, Roth Mkm set a $30.00 price objective on shares of USA Rare Earth in a report on Monday, April 20th. Eight equities research analysts have rated the stock with a Buy rating and one has given a Sell rating to the stock. Based on data from MarketBeat, the company presently has an average rating of “Moderate Buy” and a consensus target price of $35.40.

USA Rare Earth Trading Down 3.7%

The company has a market capitalization of $5.96 billion, a price-to-earnings ratio of -6.81 and a beta of 2.38. The stock’s fifty day simple moving average is $20.64 and its 200-day simple moving average is $18.65.

USA Rare Earth (NASDAQ:USAR) last released its earnings results on Wednesday, May 13th. The company reported ($0.12) earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of ($0.16) by $0.04. The business had revenue of $5.70 million for the quarter. On average, analysts anticipate that USA Rare Earth Inc. will post -0.33 EPS for the current fiscal year.

Institutional Investors Weigh In On USA Rare Earth

Hedge funds have recently added to or reduced their stakes in the business. Larson Financial Group LLC increased its position in shares of USA Rare Earth by 217.5% in the 4th quarter. Larson Financial Group LLC now owns 2,092 shares of the company’s stock valued at $25,000 after purchasing an additional 1,433 shares during the last quarter. NewEdge Advisors LLC increased its position in shares of USA Rare Earth by 158.2% in the 2nd 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 during the last quarter. Ascentis Independent Advisors purchased a new stake in shares of USA Rare Earth in the 1st quarter valued at approximately $27,000. Center for Financial Planning Inc. purchased a new stake in shares of USA Rare Earth in the 4th quarter valued at approximately $28,000. Finally, Havemeyer Place LP purchased a new stake in shares of USA Rare Earth in the 4th quarter valued at approximately $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.