Sovran Advisors LLC Makes New Investment in USA Rare Earth Inc. $USAR

Sovran Advisors LLC acquired a new stake in USA Rare Earth Inc. (NASDAQ:USAR) in the 3rd quarter, according to the company in its most recent 13F filing with the SEC. The firm acquired 222,924 shares of the company’s stock, valued at approximately $3,832,000. Sovran Advisors LLC owned approximately 0.20% of USA Rare Earth at the end of the most recent reporting period.

Several other institutional investors and hedge funds have also bought and sold shares of USAR. Altfest L J & Co. Inc. bought a new position in USA Rare Earth in the third quarter valued at approximately $13,554,000. Geode Capital Management LLC raised its position in USA Rare Earth by 2,437.5% during the second quarter. Geode Capital Management LLC now owns 653,290 shares of the company’s stock worth $7,160,000 after acquiring an additional 627,545 shares in the last quarter. Bank of America Corp DE raised its position in USA Rare Earth by 465.7% during the second quarter. Bank of America Corp DE now owns 242,726 shares of the company’s stock worth $2,659,000 after acquiring an additional 199,819 shares in the last quarter. Calamos Advisors LLC acquired a new stake in USA Rare Earth in the third quarter valued at $3,283,000. Finally, Universal Beteiligungs und Servicegesellschaft mbH bought a new position in shares of USA Rare Earth in the 3rd quarter valued at about $2,081,000.

Key Stories Impacting USA Rare Earth

Here are the key news stories impacting USA Rare Earth this week:

• Positive Sentiment: Non‑binding LOI with U.S. government for access to up to $1.6 billion (including ~$277M federal funding and a proposed $1.3B CHIPS Act senior loan) plus $1.5B in private investment — would materially de‑risk financing and scale domestic heavy‑rare‑earth production. USA Rare Earth Announces Letter of Intent
• Positive Sentiment: Reports that the Commerce Department/White House will take an equity stake (widely reported as ~10%) as part of a ~$1.6B debt‑and‑equity package — this government backing is being read as strategic national‑security support and increases investor confidence. USA Rare Earth shares jump 20% as Commerce Department takes equity stake
• Positive Sentiment: Broad media coverage tying the move to the Trump administration’s push to shore up domestic rare‑earth supply chains has amplified buying interest across the sector. Coverage highlights USAR as a key domestic supplier for magnets, semiconductors, defense and energy. USA Rare Earth shares surge on report of Trump administration investment
• Neutral Sentiment: Analyst and retail coverage (Barron’s, Benzinga, The Motley Fool, Tokenist, Finbold, InsiderMonkey) is bullish and driving momentum, but much of the coverage is thematic and speculative until financing is finalized. USAR Stock Surges 40%. How Trump Is Boosting Rare-Earth Companies.
• Neutral Sentiment: Multiple reports are based on sources and a non‑binding LOI; final terms, timing and regulatory approvals remain uncertain — the LOI is a constructive step but not a closed transaction. Why Is USAR Stock Soaring Premarket?
• Negative Sentiment: Fundamentals and execution risks remain: USAR reported an earnings miss in November and is still pre‑production — high valuation and negative EPS mean the company will depend on timely financing and project execution to justify the current market cap. USAR stock profile and recent earnings

Wall Street Analyst Weigh In

USAR has been the topic of a number of recent analyst reports. Benchmark assumed coverage on USA Rare Earth in a research report on Wednesday. They set a “buy” rating on the stock. William Blair assumed coverage on USA Rare Earth in a report on Monday, October 20th. They set an “outperform” rating for the company. Canaccord Genuity Group lifted their price objective on shares of USA Rare Earth from $22.00 to $23.00 and gave the stock a “buy” rating in a research report on Friday, November 7th. Weiss Ratings reissued a “sell (d-)” rating on shares of USA Rare Earth in a research report on Monday, December 29th. Finally, UBS Group reaffirmed a “buy” rating on shares of USA Rare Earth in a report on Monday, December 8th. Six research analysts have rated the stock with a Buy rating and one has given a Sell rating to the company. Based on data from MarketBeat, the company currently has a consensus rating of “Moderate Buy” and an average price target of $26.33.

USA Rare Earth Stock Performance

NASDAQ:USAR opened at $24.77 on Monday. USA Rare Earth Inc. has a 52 week low of $5.56 and a 52 week high of $43.98. The firm’s 50-day simple moving average is $15.46 and its 200 day simple moving average is $17.02. The firm has a market cap of $3.29 billion, a price-to-earnings ratio of -47.63 and a beta of 0.96.

USA Rare Earth (NASDAQ:USAR) last released its quarterly earnings results on Thursday, November 6th. The company reported ($0.25) earnings per share for the quarter, missing analysts’ consensus estimates of ($0.06) by ($0.19).

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.