USA Rare Earth Surges 48% in 2026 Amid Strategic Moves and Geopolitical Shifts
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 4d ago
0mins
Source: Fool
- Stock Volatility: USA Rare Earth's shares fell 11.5% in December 2025, ending the year with only a 3.7% gain, despite peaking over 200% earlier in the year, indicating significant market sentiment fluctuations.
- Lack of Government Support: Despite CEO Barbara Humpton hinting at potential talks with the government in October, the absence of federal backing from the Trump administration led to a sharp decline in the stock price in December.
- Accelerated Production Timeline: USA Rare Earth has advanced the commercial production timeline for its Round Top deposit by two years, now expecting to start by late 2028, a move aimed at boosting market confidence and accelerating company growth.
- Strategic Partnerships: The company has secured a supply of rare-earth metals through a partnership with U.K.-based Less Common Metals, reducing reliance on China, while the Stillwater facility is set to begin commissioning in Q1 2026, further solidifying its position in the rare-earth market.
Analyst Views on USAR
Wall Street analysts forecast USAR stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for USAR is 22.75 USD with a low forecast of 15.00 USD and a high forecast of 28.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
5 Analyst Rating
5 Buy
0 Hold
0 Sell
Strong Buy
Current: 16.790
Low
15.00
Averages
22.75
High
28.00
Current: 16.790
Low
15.00
Averages
22.75
High
28.00
About USAR
USA Rare Earth, Inc. is a supplier of sintered neo magnets and other rare earth metals. The Company is engaged in developing a NdFeB magnet manufacturing plant in Stillwater, Oklahoma, and intends to establish domestic rare earth and critical minerals supply, extraction, and processing capabilities to both supply its magnet manufacturing plant and market surplus materials to third parties. It is focused on developing domestic rare earth production that offers sustainable and secure domestic supply of materials critical to key industries. Its vertically integrated approach consists of sourcing rare earth elements (REEs), in addition to other critical minerals such as gallium, to producing finished NdFeB magnets. The Company serve a variety of industries, such as defense, robotics, electric vehicles, wind power, appliances, cordless tools and computing and semiconductors. The Company owns, Less Common Metals Ltd., which is a scaled ex-China rare earth metal and alloy manufacturer.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
