Investors Purchase Large Volume of Call Options on USA Rare Earth (NASDAQ:USAR)

USA Rare Earth Inc. (NASDAQ:USAR) saw unusually large options trading activity on Tuesday. Stock investors purchased 60,375 call options on the company. This represents an increase of approximately 40% compared to the average daily volume of 43,077 call options.

Institutional Trading of USA Rare Earth

Several institutional investors and hedge funds have recently bought and sold shares of the business. NewEdge Advisors LLC grew its position in shares of USA Rare Earth by 158.2% during the 2nd quarter. NewEdge Advisors LLC now owns 2,324 shares of the company’s stock worth $25,000 after purchasing an additional 1,424 shares in the last quarter. SBI Securities Co. Ltd. increased its position in USA Rare Earth by 10,448.0% during the 2nd quarter. SBI Securities Co. Ltd. now owns 2,637 shares of the company’s stock worth $29,000 after purchasing an additional 2,612 shares in the last quarter. National Bank of Canada FI increased its holdings in shares of USA Rare Earth by 110.0% during the third quarter. National Bank of Canada FI now owns 2,100 shares of the company’s stock worth $36,000 after buying an additional 1,100 shares in the last quarter. Osaic Holdings Inc. bought a new position in USA Rare Earth in the second quarter valued at about $38,000. Finally, KLP Kapitalforvaltning AS bought a new position in USA Rare Earth in the 3rd quarter valued at approximately $69,000.

Analysts Set New Price Targets

USAR has been the topic of a number of recent analyst reports. Roth Capital set a $40.00 target price on shares of USA Rare Earth in a research report on Friday, October 10th. Benchmark reaffirmed a “buy” rating on shares of USA Rare Earth in a report on Monday, December 8th. William Blair assumed coverage on USA Rare Earth in a report on Monday, October 20th. They issued an “outperform” rating for the company. 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 research report on Monday, December 8th. Six equities research analysts have rated the stock with a Buy rating and one has assigned a Sell rating to the company’s stock. According to MarketBeat, the stock has a consensus rating of “Moderate Buy” and a consensus price target of $26.33.

USA Rare Earth Trading Up 8.5%

Shares of USA Rare Earth stock traded up $1.51 during trading on Tuesday, reaching $19.20. The stock had a trading volume of 22,665,053 shares, compared to its average volume of 13,151,625. The company has a market capitalization of $2.55 billion, a price-to-earnings ratio of -36.92 and a beta of 0.96. USA Rare Earth has a 52 week low of $5.56 and a 52 week high of $43.98. The stock has a fifty day moving average price of $15.02 and a two-hundred day moving average price of $16.69.

USA Rare Earth (NASDAQ:USAR) last posted its quarterly earnings results on Thursday, November 6th. The company reported ($0.25) earnings per share for the quarter, missing the consensus estimate 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.