Encompass Capital Advisors LLC Makes New Investment in USA Rare Earth Inc. $USAR

Encompass Capital Advisors LLC acquired a new stake in shares of USA Rare Earth Inc. (NASDAQ:USAR) in the first quarter, HoldingsChannel.com reports. The fund acquired 465,000 shares of the company’s stock, valued at approximately $7,038,000.

A number of other institutional investors have also added to or reduced their stakes in USAR. NewEdge Advisors LLC grew its stake in USA Rare Earth by 158.2% during the second quarter. NewEdge Advisors LLC now owns 2,324 shares of the company’s stock valued at $25,000 after acquiring an additional 1,424 shares in the last quarter. Raymond James Financial Inc. bought a new stake in USA Rare Earth in the 2nd quarter valued at $223,000. Lighthouse Investment Partners LLC purchased a new stake in USA Rare Earth in the 2nd quarter worth $329,000. Bank of America Corp DE lifted its stake in USA Rare Earth by 465.7% in the 2nd quarter. Bank of America Corp DE now owns 242,726 shares of the company’s stock worth $2,659,000 after purchasing an additional 199,819 shares in the last quarter. Finally, LMR Partners LLP bought a new position in shares of USA Rare Earth during the 2nd quarter valued at about $145,000.

USA Rare Earth Price Performance

Shares of NASDAQ USAR opened at $14.93 on Tuesday. USA Rare Earth Inc. has a 1-year low of $10.91 and a 1-year high of $43.98. The business’s 50 day moving average is $21.40 and its two-hundred day moving average is $20.61. The stock has a market capitalization of $3.33 billion, a P/E ratio of -3.81 and a beta of 2.45.

USA Rare Earth (NASDAQ:USAR) last posted its quarterly earnings data on Wednesday, May 13th. The company reported ($0.12) earnings per share (EPS) for the quarter, beating the consensus estimate of ($0.16) by $0.04. The company had revenue of $5.70 million during the quarter. As a group, equities research analysts anticipate that USA Rare Earth Inc. will post -0.35 earnings per share for the current fiscal year.

Analyst Ratings Changes

USAR has been the subject of a number of research analyst reports. Canaccord Genuity Group raised their price objective on USA Rare Earth from $29.00 to $32.00 and gave the company a “buy” rating in a research report on Tuesday, April 21st. Needham & Company LLC decreased their target price on USA Rare Earth from $39.00 to $33.00 and set a “buy” rating on the stock in a research report on Wednesday, July 22nd. Roth Capital dropped their price target on USA Rare Earth from $40.00 to $30.00 and set a “buy” rating for the company in a research note on Tuesday, July 21st. Benchmark reaffirmed a “buy” rating on shares of USA Rare Earth in a research note on Wednesday, June 3rd. Finally, Wedbush lifted their price objective on USA Rare Earth from $29.00 to $35.00 and gave the stock an “outperform” rating in a research note on Tuesday, May 12th. Nine research analysts have rated the stock with a Buy rating and one has given a Sell rating to the company. According to MarketBeat.com, the company presently has an average rating of “Moderate Buy” and a consensus target price of $35.83.

Insider Buying and Selling at USA Rare Earth

In related news, Director Carolyn Trabuco sold 13,000 shares of the stock in a transaction on Monday, June 8th. The stock was sold at an average price of $22.77, for a total transaction of $296,010.00. Following the sale, the director owned 18,783 shares in the company, valued at approximately $427,688.91. This represents a 40.90% decrease in their position. The transaction was disclosed in a filing with the SEC, which is accessible through this hyperlink. Corporate insiders own 9.10% of the company’s stock.

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.