USA Rare Earth (NASDAQ:USAR) Shares Gap Up After Insider Buying Activity

Shares of USA Rare Earth Inc. (NASDAQ:USAR) gapped up before the market opened on Friday following insider buying activity. The stock had previously closed at $22.07, but opened at $22.86. USA Rare Earth shares last traded at $23.98, with a volume of 5,194,647 shares trading hands.

Specifically, Director Carolyn Trabuco purchased 1,300 shares of USA Rare Earth stock in a transaction on Thursday, January 29th. The shares were purchased at an average cost of $22.60 per share, with a total value of $29,380.00. Following the completion of the transaction, the director directly owned 1,300 shares in the company, valued at approximately $29,380. This represents a ∞ increase in their position. The acquisition was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. Also, Director Michael Blitzer acquired 100,000 shares of the stock in a transaction on Thursday, January 29th. The stock was purchased at an average cost of $21.44 per share, with a total value of $2,144,000.00. Following the transaction, the director directly owned 847,500 shares of the company’s stock, valued at $18,170,400. This represents a 13.38% increase in their ownership of the stock. The SEC filing for this purchase provides additional information.

Analyst Upgrades and Downgrades

Several equities analysts have recently commented on the company. Weiss Ratings reiterated a “sell (d-)” rating on shares of USA Rare Earth in a research note on Monday, December 29th. Benchmark assumed coverage on USA Rare Earth in a research report on Wednesday, January 21st. They set a “buy” rating for the company. Cantor Fitzgerald boosted their price objective on USA Rare Earth from $28.00 to $35.00 and gave the stock an “overweight” rating in a research note on Friday. William Blair started coverage on USA Rare Earth in a report on Monday, October 20th. They issued an “outperform” rating on the stock. Finally, Roth Mkm increased their target price on USA Rare Earth from $25.00 to $35.00 and gave the company a “buy” rating in a report on Monday, January 26th. Six research analysts have rated the stock with a Buy rating and one has issued a Sell rating to the company’s stock. According to data from MarketBeat.com, USA Rare Earth presently has a consensus rating of “Moderate Buy” and an average price target of $34.33.

More USA Rare Earth News

Here are the key news stories impacting USA Rare Earth this week:

• Positive Sentiment: Director Michael Blitzer bought 100,000 shares (~$2.14M at $21.44), raising his stake to ~847,500 shares — a notable insider vote of confidence. SEC Filing: Insider Purchase
• Positive Sentiment: USA Rare Earth closed a $1.5 billion PIPE financing — supplies substantial near-term capital to fund development of Round Top and downstream processing, reducing immediate financing uncertainty. GlobeNewswire: PIPE Closing
• Positive Sentiment: Federal engagement continues — Commerce Dept. LOI and reported loan/funding support from the administration reinforce policy backing for a domestic rare-earth supply chain, which underpins long-term demand expectations. ExecutiveGov: Commerce, USA Rare Earth Collaborate
• Positive Sentiment: Smaller insider buy: Director Carolyn Trabuco purchased 1,300 shares at $22.60 — adds to the insider-buying narrative supporting sentiment. SEC Filing: Trabuco Purchase
• Neutral Sentiment: Coverage paints USA Rare Earth as a “test case” for U.S.-backed mine-to-magnet supply chains — increases visibility but leaves timing and commercialization risks unresolved. Yahoo Finance: Test Case Article
• Neutral Sentiment: MarketBeat and other outlets note strong YTD momentum and multiple buy ratings/raised price targets (consensus target roughly $28) — bullish analyst framing may already be partially priced in. MarketBeat: Analyst Coverage
• Negative Sentiment: A Barron’s report that the U.S. might reconsider rare-earth price-floor support sparked sector selling and heightened near-term policy risk — this macro/policy uncertainty is the clearest immediate downside pressure on USAR. Barron’s: Price-Floor Fears

USA Rare Earth Stock Up 1.6%

The company’s 50-day simple moving average is $16.55 and its 200 day simple moving average is $17.42. The company has a market capitalization of $2.97 billion, a P/E ratio of -43.12 and a beta of 0.96.

USA Rare Earth (NASDAQ:USAR) last released its quarterly earnings data on Thursday, November 6th. The company reported ($0.25) earnings per share (EPS) for the quarter, missing the consensus estimate of ($0.06) by ($0.19).

Institutional Inflows and Outflows

A number of hedge funds have recently made changes to their positions in USAR. Calamos Advisors LLC bought a new position in shares of USA Rare Earth in the third quarter valued at approximately $3,283,000. Pier 88 Investment Partners LLC acquired a new position in USA Rare Earth in the 2nd quarter valued at $588,000. Farther Finance Advisors LLC raised its holdings in USA Rare Earth by 1,461,225.0% in the 3rd quarter. Farther Finance Advisors LLC now owns 58,453 shares of the company’s stock worth $1,005,000 after acquiring an additional 58,449 shares during the period. Altfest L J & Co. Inc. bought a new position in USA Rare Earth in the 3rd quarter worth $13,554,000. Finally, Sovran Advisors LLC acquired a new position in USA Rare Earth during the 3rd quarter worth $3,832,000.

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.