USA Rare Earth (NASDAQ:USAR) Shares Down 5.9% on Insider Selling

USA Rare Earth Inc. (NASDAQ:USAR) fell 5.9% during mid-day trading on Tuesday after an insider sold shares in the company. The stock traded as low as $19.89 and last traded at $20.90. 22,174,289 shares were traded during trading, an increase of 19% from the average session volume of 18,654,605 shares. The stock had previously closed at $22.21.

Specifically, Director Carolyn Trabuco sold 13,000 shares of the company’s stock in a transaction dated Monday, June 8th. The shares were sold at an average price of $22.77, for a total transaction of $296,010.00. Following the sale, the director directly owned 18,783 shares of the company’s stock, valued at $427,688.91. This represents a 40.90% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link.

Analyst Ratings Changes

USAR has been the subject of several recent research reports. Weiss Ratings upgraded shares of USA Rare Earth from a “sell (d-)” rating to a “sell (d+)” rating in a research note on Thursday, May 14th. Wedbush lifted their price objective on shares of USA Rare Earth from $29.00 to $35.00 and gave the company an “outperform” rating in a research note on Tuesday, May 12th. Cantor Fitzgerald restated an “overweight” rating and set a $40.00 target price on shares of USA Rare Earth in a research report on Thursday, June 4th. Roth Mkm reaffirmed a “buy” rating on shares of USA Rare Earth in a report on Thursday, June 4th. Finally, Needham & Company LLC initiated coverage on USA Rare Earth in a research report on Monday, June 1st. They issued a “buy” rating and a $39.00 price target for the company. Nine analysts have rated the stock with a Buy rating and one has given a Sell rating to the company’s stock. According to data from MarketBeat, the stock has a consensus rating of “Moderate Buy” and a consensus price target of $36.83.

USA Rare Earth Stock Performance

The company’s 50 day simple moving average is $22.33 and its 200-day simple moving average is $19.34. The firm has a market capitalization of $4.66 billion, a PE ratio of -5.33 and a beta of 2.33.

USA Rare Earth (NASDAQ:USAR) last released its quarterly earnings results on Wednesday, May 13th. The company reported ($0.12) earnings per share for the quarter, topping the consensus estimate of ($0.16) by $0.04. The firm had revenue of $5.70 million during the quarter. On average, equities research analysts forecast that USA Rare Earth Inc. will post -0.35 earnings per share for the current fiscal year.

Institutional Trading of USA Rare Earth

Institutional investors and hedge funds have recently modified their holdings of the business. Tudor Investment Corp ET AL purchased a new stake in USA Rare Earth during the third quarter valued at about $8,304,000. Jennison Associates LLC purchased a new position in shares of USA Rare Earth in the 4th quarter worth about $1,586,000. JPMorgan Chase & Co. purchased a new position in shares of USA Rare Earth in the 3rd quarter worth about $734,000. Sovran Advisors LLC increased its position in shares of USA Rare Earth by 119.7% during the 4th quarter. Sovran Advisors LLC now owns 489,707 shares of the company’s stock valued at $5,828,000 after purchasing an additional 266,783 shares during the last quarter. Finally, Kercheville Advisors LLC raised its holdings in shares of USA Rare Earth by 272.0% during the 4th quarter. Kercheville Advisors LLC now owns 37,200 shares of the company’s stock valued at $443,000 after buying an additional 27,200 shares in the last quarter.

About USA Rare Earth

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.