Should I Buy USAR? USAR 2026 Analysis

Should You Buy USA Rare Earth Inc (USAR) Today? Analysis, Price Targets, and 2026 Outlook.

Conclusion

Buy

Latest Price

23.220

1 Day change

5.22%

52 Week Range

43.980

Analysis Updated At

2026/01/26

USA Rare Earth Inc. (USAR) is a good buy for a beginner investor with a long-term strategy and $50,000-$100,000 available for investment. The stock is experiencing strong positive momentum in the pre-market, supported by significant government investment, a bullish technical setup, and favorable analyst ratings. While the company is not yet generating significant revenue, its strategic importance in the rare earth supply chain and recent developments make it a compelling long-term investment opportunity.

Technical Analysis

The technical indicators are bullish. The MACD is positively expanding, RSI indicates an overbought condition at 86.409, and moving averages are in a bullish alignment (SMA_5 > SMA_20 > SMA_200). The stock is trading above key resistance levels, with pre-market momentum pushing it even higher (Pre-market price: $34.05, up 37.30%).

Options Data

Bullish

Open Interest Put-Call Ratio

Bullish

Option Volume Put-Call Ratio

Technical Summary

Sell

Buy

Positive Catalysts

The Trump administration's $1.6 billion investment in USA Rare Earth for a 10% stake, including $1.3 billion in secured debt financing, highlights the company's strategic importance.
Analysts have reiterated Buy ratings with price targets ranging from $15 to $25, citing progress in commercialization and vertical integration.
The company's focus on rare earth magnet production and securing pipeline customers aligns with long-term growth potential.

Neutral/Negative Catalysts

The company is not yet generating significant revenue, with Q3 2025 financials showing a net income loss of $156.68 million.
RSI indicates the stock is overbought, suggesting potential short-term pullback risks.
Stock trend analysis shows a 70% chance of a -2.56% decline in the next day, which may concern short-term traders.

Financial Performance

In Q3 2025, the company reported no revenue growth (0% YoY) and a net income loss of $156.68 million, up 8283.09% YoY. EPS improved to -1.53, up 7550.00% YoY. While these numbers reflect significant losses, they also indicate progress in reducing per-share losses.

Growth

Profitability

Efficiency

Analyst Ratings and Price Target Trends

Analysts are bullish on USA Rare Earth. Benchmark has a Buy rating with a $15 price target, citing significant value at prevailing rare earth prices. Canaccord raised its price target to $23, emphasizing progress in vertical integration. Roth Capital maintains a Buy rating with a $25 price target, despite lowering it from $40 due to an earnings miss, and highlights the company's alignment with its capacity expansion plan.

5 Analyst Rating

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 USD and a high forecast of 28 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 Buy

0 Hold

0 Sell

Strong Buy

Current: 22.070

Low

Averages

22.75

High

Current: 22.070

Low

Averages

22.75

High

Cantor Fitzgerald

Derek Soderberg

Overweight

maintain

$28 -> $35

AI Analysis

2026-01-30

New

Reason

Cantor Fitzgerald

Derek Soderberg

Price Target

$28 -> $35

AI Analysis

2026-01-30

New

maintain

Overweight

Reason

Cantor Fitzgerald analyst Derek Soderberg raised the firm's price target on USA Rare Earth to $35 from $28 and keeps an Overweight rating on the shares. USA Rare Earth this week secured a U.S. government LOI and raised $1.5B through a PIPE, boosting total available capital to about $3.5Bn to support accelerated mining, expanded metal-making capacity, and magnet production ramp-up, the analyst tells investors in a research note. With funding risk reduced, attention shifts to execution of magnet production, which management believes could drive $1.2B of EBITDA by 2030 if milestones are met, the firm notes.

Benchmark

Subash Chandra

Buy

upgrade

$15 -> $45

2026-01-27

New

Reason

Benchmark

Subash Chandra

Price Target

$15 -> $45

2026-01-27

New

upgrade

Buy

Reason

Benchmark analyst Subash Chandra raised the firm's price target on USA Rare Earth to $45 from $15 and keeps a Buy rating on the shares after the company secured 85% of the $4.1B of capital required to achieve full integration, including the government funding $1.9B. The firm, which is "surprised by the scale of the transaction," notes that its prior price target reflected 5,000 mta of magnet-making capacity and that its revised target reflects a doubling of capacity to 10,000 mta, upstream revenues from Round Top and midstream revenues from metal-making, and third party concentrate processing.

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USAR Should I Buy

USAR Should I Buy

Should You Buy USA Rare Earth Inc (USAR) Today? Analysis, Price Targets, and 2026 Outlook.

Technical Analysis

Options Data

Technical Summary

Positive Catalysts

Neutral/Negative Catalysts

Financial Performance

Growth

Profitability

Efficiency

Analyst Ratings and Price Target Trends

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