USA Rare Earth (NASDAQ:USAR) Shares Up 7.1% – Should You Buy?

USA Rare Earth Inc. (NASDAQ:USAR)’s share price rose 7.1% on Monday . The company traded as high as $17.72 and last traded at $17.39. Approximately 13,804,234 shares traded hands during trading, a decline of 32% from the average daily volume of 20,257,342 shares. The stock had previously closed at $16.24.

Wall Street Analyst Weigh In

A number of equities research analysts have commented on USAR shares. Cantor Fitzgerald lifted their target price on shares of USA Rare Earth from $28.00 to $35.00 and gave the stock an “overweight” rating in a research report on Friday, January 30th. Roth Mkm increased their price target on USA Rare Earth from $25.00 to $35.00 and gave the company a “buy” rating in a report on Monday, January 26th. Canaccord Genuity Group raised their price target on USA Rare Earth from $23.00 to $33.00 and gave the stock a “buy” rating in a research note on Tuesday, January 27th. UBS Group reiterated a “buy” rating on shares of USA Rare Earth in a research report on Monday, December 8th. Finally, Weiss Ratings reissued a “sell (d-)” rating on shares of USA Rare Earth in a report on Monday, December 29th. Six equities research analysts have rated the stock with a Buy rating and one has issued a Sell rating to the company. According to MarketBeat.com, the company has an average rating of “Moderate Buy” and a consensus target price of $34.33.

USA Rare Earth Stock Up 0.2%

The firm has a market capitalization of $2.21 billion, a PE ratio of -32.00 and a beta of 1.05. The stock’s fifty day simple moving average is $20.20 and its 200 day simple moving average is $18.80.

Insiders Place Their Bets

In related news, Director Carolyn Trabuco acquired 1,300 shares of USA Rare Earth stock in a transaction dated Thursday, January 29th. The stock was purchased at an average cost of $22.60 per share, for a total transaction of $29,380.00. Following the purchase, the director directly owned 1,300 shares of the company’s stock, valued at approximately $29,380. This trade represents a ∞ increase in their position. The purchase was disclosed in a filing with the SEC, which is accessible through this link. Also, Director Michael Blitzer bought 100,000 shares of the stock in a transaction that occurred on Thursday, January 29th. The shares were bought at an average price of $21.44 per share, for a total transaction of $2,144,000.00. Following the completion of the transaction, the director directly owned 847,500 shares of the company’s stock, valued at $18,170,400. This represents a 13.38% increase in their position. The disclosure for this purchase is available in the SEC filing. Insiders own 46.60% of the company’s stock.

Institutional Investors Weigh In On USA Rare Earth

A number of institutional investors and hedge funds have recently added to or reduced their stakes in the company. Calamos Advisors LLC bought a new position in USA Rare Earth in the 3rd quarter worth $3,283,000. Farther Finance Advisors LLC boosted its stake in shares of USA Rare Earth by 1,461,225.0% in the third quarter. Farther Finance Advisors LLC now owns 58,453 shares of the company’s stock worth $1,005,000 after acquiring an additional 58,449 shares during the period. Guild Investment Management Inc. bought a new position in shares of USA Rare Earth in the third quarter worth about $1,080,000. Altfest L J & Co. Inc. purchased a new stake in shares of USA Rare Earth during the third quarter worth about $13,554,000. Finally, Sovran Advisors LLC purchased a new stake in shares of USA Rare Earth during the third quarter worth about $3,832,000.

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.