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USARUSA Rare Earth, Inc.Sell5.5·$21.70-5.73%
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USA Rare Earth, Inc. (USAR) Stock Analysis

SellVALUE-TRAP 1/5Moderate Confidence

Basic Materials · Other Industrial Metals & Mining

Sell if holding. Engine safety override at $21.70: Quality below floor (1.8 < 4.0) triggers a hard block regardless of the otherwise-positive setup — overall score 5.5/10 and A.R:R 3.9:1 is above the 1.5:1 BUY gate. Specifically: High short interest: 13%; Below-average business quality; Negative price momentum.

USA Rare Earth is an early-stage company building an integrated rare earth mine-to-magnet value chain, including the Round Top HREE deposit in Texas, Less Common Metals metal-making operations in the UK, and a magnet manufacturing facility in Stillwater, Oklahoma. Revenue in... Read more

$21.70+58.1% A.UpsideScore 5.5/10#8 of 21 Other Industrial Metals & Mining
QualityF-score4 / 9FCF yield-1.79%
Stop $20.22Target $34.37(analyst − 13%)A.R:R 3.9:1
Analyst target$39.50+82.0%8 analysts
$34.37our TP
$21.70price
$39.50mean
$45

Sell if holding. Engine safety override at $21.70: Quality below floor (1.8 < 4.0) triggers a hard block regardless of the otherwise-positive setup — overall score 5.5/10 and A.R:R 3.9:1 is above the 1.5:1 BUY gate. Specifically: High short interest: 13%; Below-average business quality; Negative price momentum. Chart setup: No clear chart pattern; technical signals are mixed. Score 5.5/10, moderate confidence.

Passes 5/7 gates (favorable risk/reward ratio, clean insider activity, earnings proximity 55d clear, semi cycle peak clear, materials cycle peak clear). Fails on weak momentum. Suitability: aggressive.

10-K grounded · weekly refresh

About USA Rare Earth, Inc.

About USA Rare Earth, Inc.

USA Rare Earth holds mining rights to Round Top Mountain in Sierra Blanca, Texas — believed to contain one of North America's largest recoverable heavy rare earth element deposits including dysprosium, terbium, and yttrium — plus the Less Common Metals subsidiary in Cheshire, UK, acquired November 18, 2025 for an undisclosed sum. The company recorded a net loss of $298.5 million for FY2025 against an accumulated deficit of $387.4 million, with revenues limited to partial-year metals production at Less Common Metals. Commercial production at Round Top Mountain targets late 2028 under the company's Accelerated Mining Plan, two years ahead of the prior schedule.

USA Rare Earth's business model targets integration across five stages: mining at Round Top Mountain (Texas), rare earth oxide separation at a research and development facility in Wheat Ridge, Colorado, metal and alloy making at Less Common Metals (UK) and a planned 3,750 metric-ton-per-year plant in Lacq, France (announced January 2026), and sintered neodymium-iron-boron permanent magnet manufacturing at Stillwater, Oklahoma. Phase 1a of magnet block production at Stillwater was commissioned in Q1 2026, with customer order fulfillment targeted in Q2 2026. The company signed a letter of intent with the U.S. government in January 2026 under which $1.6 billion in direct awards and loans under the CHIPS Act is expected, subject to negotiation of definitive agreements and achievement of specified milestones — the largest proposed government financing for a rare earth company to date.

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China controls approximately 99% of global heavy rare earth processing and approximately 99% of refined gallium supply, positioning USA Rare Earth's Round Top deposit as a potential domestic alternative. Defense Federal Acquisition Regulation Supplement 225.7018, effective January 1, 2027, will prohibit the U.S. Department of War from acquiring NdFeB magnets produced in China or other covered countries, compressing the qualification window. The company must complete a definitive feasibility study by early 2027 and achieve commercial production by late 2028 to supply the resulting demand, a timeline that could be adversely affected by permitting delays, capital constraints, or feedstock supply disruptions.

See also: Basic Materials · Other Industrial Metals & Mining

From USA Rare Earth, Inc.'s most recent 10-K filing, extracted June 10, 2026.

TrendMatrix Research · upcoming catalyst calendar

Upcoming dated catalysts

Mon, Aug 10, 202655d to earnings· next earnings call

Thesis

Rewards
No bull case signals
Risks
Quality below floor (1.8 < 4.0)

Key Metrics

P/E (TTM)
P/E (Fwd)690.7
Mkt Cap$5.6B
EV/EBITDA-47.0
Profit Mgn0.0%
ROE-44.8%
Rev Growth
Beta2.36
DividendNone
Rating analysts13

Quality Signals

Piotroski F4/9

Options Flow

P/C1.04bearish
IV99%elevated
Max Pain$48+121.2% vs spot

Material Events(8-K, last 90d)

  • 2026-04-23Item 5.02LOW
    On April 20, 2026, directors Mordechai Gutnick and General Paul Kern notified the Board they would not stand for reelection at the June 3, 2026 annual meeting. The Board voted to reduce its size to six directors effective immediately before the annual meeting.
    SEC filing →
  • 2026-03-12Item 5.02LOW
    On March 9, 2026, Tready Smith resigned from the Board; no disagreement cited. The Board appointed Thomas Caulfield (Executive Chairman of GlobalFoundries) to fill the vacancy, also assigning him to Compensation and Nominating/Governance Committees.
    SEC filing →

Model-generated analysis — not investment advice. Not a registered investment advisor. Past performance does not guarantee future results.

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About TrendMatrix. TrendMatrix is a publisher of general securities research and market commentary. We publish on a regular schedule. All content is the same for every subscriber in a tier — we do not provide personalized investment advice and we do not take into account any individual subscriber's financial situation, investment objectives, risk tolerance, tax situation, or holdings.

Not investment advice. TrendMatrix is not a registered investment adviser. Our content is for informational and educational purposes only. Consult your own licensed investment adviser, broker, or tax professional before making any investment decision.

Conflicts and positions. The TrendMatrix editorial team frequently holds personal long-term positions in securities discussed. We disclose positions held at the time of publication on each piece. We maintain a trading-window policy: we do not initiate or close positions in the same direction as a TrendMatrix publication within 24 hours before or 72 hours after publication.

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Performance. Past performance is not indicative of future results. Performance figures reflect the published model only and do not reflect any individual subscriber's actual results.

Methodology · Editorial policy & full disclaimer

Rating Breakdown

3 floor-breakers·2 ceiling hits

Quality below the gate floor. Component breakdown shows what dragged the score down.static

Roe
0.0
Roa
0.0
Gross Margin
0.0
Net Margin
0.0
Fcf Quality
0.0
Piotroski F
4.4
Moat
4.8
Current Ratio
5.0
Cash-burning: FCF -1371% of revenueNo competitive moatQuality concerns

No near-term catalyst priced in. Thesis progression will come from fundamentals grinding, not event reaction.static

Surprise Avg
0.0
Earnings History
3.3
Erm
5.0
Earnings Timing
5.0
News Activity
5.0
Earnings concerns: 2B/2M

Momentum below the gate floor. Component breakdown shows what dragged the score down.static

Macd
0.0
Volume
1.7
Ma Position
4.0
Obv
6.1
Rsi
7.8
Uptrend pullback (RSI 38) - buy opportunityAbove 200-day MA
GatesMomentum 3.9<4.5Executive change: officer departure/appointmentA.R:R 3.9 ≥ 1.5Insider activity: OKEARNINGS PROXIMITY 55d clearSEMI CYCLE PEAK CLEARMATERIALS CYCLE PEAK CLEARSuitability: Aggressive
RSI
38 · Neutral
20D MA 50D MA 200D MAGOLDEN CROSSSupport $19.36Resistance $32.80

Price Targets

$20
$34
A.Upside+58.4%
A.R:R3.9:1

Position Sizing

ConvictionNone
Suggested %0.5%
Max %1%
RegimeSteady

Risk Alerts

! Quality below floor (1.8 < 4.0)
! momentum at 3.9 (below the engine's 4.5 threshold)

Earnings

B
B
M
M
2/4 beats
Next Earnings2026-08-10 (55d)

Verdict History

reverse chrono — latest first
Loading history...
Verdicts are recorded on every nightly pipeline run. Rows capture transitions (verdict flips, score deltas ≥0.3, entry/TP/SL changes). Rows with a ▶ can be expanded to see the change reason. Aggregate cohort performance is tracked in the recommendation ledger.
Frequently Asked Questions
Is USAR stock a buy right now?

Sell if holding. Engine safety override at $21.70: Quality below floor (1.8 < 4.0) triggers a hard block regardless of the otherwise-positive setup — overall score 5.5/10 and A.R:R 3.9:1 is above the 1.5:1 BUY gate. Specifically: High short interest: 13%; Below-average business quality; Negative price momentum. Chart setup: No clear chart pattern; technical signals are mixed. Prior stop was $20.22. Score 5.5/10, moderate confidence.

What is the USAR stock price target?

Take-profit target: $34.37 (+58.1% upside). Prior stop was $20.22. Stop-loss: $20.22.

What are the risks of investing in USAR?

Quality below floor (1.8 < 4.0).

Is USAR overvalued or undervalued?

USA Rare Earth, Inc. trades at a P/E of N/A (forward 690.7). TrendMatrix value score: 5.2/10. Verdict: Sell.

What do analysts say about USAR?

13 analysts cover USAR with a consensus score of 4.2/5. Average price target: $40.

What does USA Rare Earth, Inc. do?USA Rare Earth is an early-stage company building an integrated rare earth mine-to-magnet value chain, including the...

USA Rare Earth is an early-stage company building an integrated rare earth mine-to-magnet value chain, including the Round Top HREE deposit in Texas, Less Common Metals metal-making operations in the UK, and a magnet manufacturing facility in Stillwater, Oklahoma. Revenue in 2025 was solely from Less Common Metals for a partial year; the company had a net loss of $298.5M and accumulated deficit of $387.4M as of December 31, 2025.

Related stocks: NEXA (Nexa Resources S.A.) · TECK (Teck Resources Ltd) · USAS (Americas Gold and Silver Corpor) · LAR (Lithium Argentina AG) · CRML (Critical Metals Corp.)
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