USA Rare Earth (USAR) and Its Competitors Critical Survey

USA Rare Earth (NASDAQ:USAR) is one of 103 public companies in the “MINING – MISC” industry, but how does it weigh in compared to its rivals? We will compare USA Rare Earth to related companies based on the strength of its dividends, earnings, profitability, risk, institutional ownership, analyst recommendations and valuation.

Profitability

This table compares USA Rare Earth and its rivals’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
USA Rare Earth	N/A	-16.58%	-16.23%
USA Rare Earth Competitors	-982.74%	-10.79%	-3.71%

Earnings & Valuation

This table compares USA Rare Earth and its rivals top-line revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
USA Rare Earth	N/A	$7.90 million	-27.87
USA Rare Earth Competitors	$10.20 billion	$448.48 million	-16.49

USA Rare Earth’s rivals have higher revenue and earnings than USA Rare Earth. USA Rare Earth is trading at a lower price-to-earnings ratio than its rivals, indicating that it is currently more affordable than other companies in its industry.

Volatility & Risk

USA Rare Earth has a beta of 0.77, indicating that its stock price is 23% less volatile than the S&P 500. Comparatively, USA Rare Earth’s rivals have a beta of 0.61, indicating that their average stock price is 39% less volatile than the S&P 500.

Analyst Recommendations

This is a summary of recent ratings for USA Rare Earth and its rivals, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
USA Rare Earth	1	0	4	0	2.60
USA Rare Earth Competitors	749	1842	3519	170	2.50

USA Rare Earth presently has a consensus target price of $26.33, indicating a potential upside of 81.73%. As a group, “MINING – MISC” companies have a potential upside of 16.47%. Given USA Rare Earth’s stronger consensus rating and higher possible upside, research analysts plainly believe USA Rare Earth is more favorable than its rivals.

Insider and Institutional Ownership

35.5% of shares of all “MINING – MISC” companies are held by institutional investors. 46.6% of USA Rare Earth shares are held by insiders. Comparatively, 9.4% of shares of all “MINING – MISC” companies are held by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.

Summary

USA Rare Earth rivals beat USA Rare Earth on 7 of the 13 factors compared.

USA Rare Earth Company Profile

USA Rare Earth, Inc. is domestic supplier of rare earth magnets and heavy rare earth elements. It is developing a vertically integrated, domestic supply chain for rare earth element magnet production, with a facility in Stillwater, Oklahoma, and mining rights to the Round Top heavy rare earth and critical minerals deposit in West Texas. The company was founded in May 2019 and is headquartered in Stillwater, OK.