USA Rare Earth (NASDAQ:USAR) Stock Falls 2% – Should You Sell?

Shares of USA Rare Earth Inc. (NASDAQ:USAR) traded down 2% during trading on Thursday. The company traded as low as $13.47 and last traded at $13.80. 13,195,414 shares were traded during mid-day trading, a decline of 18% from the average session volume of 16,106,174 shares. The stock had previously closed at $14.08.

Wall Street Analysts Forecast Growth

Several equities analysts recently weighed in on USAR shares. Roth Capital reduced their target price on shares of USA Rare Earth from $40.00 to $30.00 and set a “buy” rating on the stock in a report on Tuesday, July 21st. Jefferies Financial Group began coverage on USA Rare Earth in a research report on Wednesday, September 2nd. They issued a “buy” rating and a $21.00 price objective on the stock. Cantor Fitzgerald restated an “overweight” rating on shares of USA Rare Earth in a research note on Tuesday, August 11th. Needham & Company LLC decreased their target price on USA Rare Earth from $39.00 to $33.00 and set a “buy” rating for the company in a research report on Wednesday, July 22nd. Finally, Weiss Ratings lowered USA Rare Earth from a “sell (d)” rating to a “sell (d-)” rating in a research note on Tuesday, August 11th. Ten investment analysts have rated the stock with a Buy rating and one has assigned a Sell rating to the company. Based on data from MarketBeat, USA Rare Earth currently has an average rating of “Moderate Buy” and an average target price of $33.71.

USA Rare Earth Stock Down 1.5%

The firm has a 50 day moving average price of $16.79 and a two-hundred day moving average price of $19.45. The company has a market capitalization of $3.33 billion, a price-to-earnings ratio of -5.59 and a beta of 2.66.

USA Rare Earth (NASDAQ:USAR) last released its quarterly earnings results on Monday, August 10th. The company reported ($0.15) EPS for the quarter, missing the consensus estimate of ($0.07) by ($0.08). The company had revenue of $5.82 million during the quarter. Analysts predict that USA Rare Earth Inc. will post -0.62 earnings per share for the current year.

Hedge Funds Weigh In On USA Rare Earth

Several institutional investors and hedge funds have recently made changes to their positions in the business. BlackRock Inc. acquired a new stake in shares of USA Rare Earth in the 2nd quarter valued at about $335,795,000. Inflection Point Holdings II LLC acquired a new position in USA Rare Earth in the fourth quarter worth about $37,188,000. Bank of America Corp DE acquired a new position in USA Rare Earth in the second quarter worth about $32,762,000. Weiss Asset Management LP bought a new stake in USA Rare Earth in the first quarter valued at about $17,103,000. Finally, Korea Investment CORP bought a new stake in USA Rare Earth in the second quarter valued at about $18,108,000.

USA Rare Earth Company Profile

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.