← Back to All US Stocks

USA Rare Earth, Inc. (USAR) Fundamental Analysis & AI Grade 2026

USAR Nasdaq Metal Mining E9 CIK: 0001970622
Updated This Month • Analysis: May 15, 2026 • SEC Data: 2026-03-31
Combined AI Grade
D
87% Confidence
N/A
D
87% Conf
Pending
Analysis scheduled

📊 USAR Key Takeaways

Revenue: $5.7M
Net Margin: -1,175.7%
Free Cash Flow: $-57.1M
Current Ratio: 36.29x
Debt/Equity: 0.00x
EPS: $-0.34
AI Grade: D with 87% confidence
USA Rare Earth, Inc. (USAR) receives a D fundamental grade with 87% confidence from our AI analysis based on SEC 10-K filings. With revenue of $5.7M, net profit margin of -1,175.7%, and return on equity (ROE) of -3.6%, USA Rare Earth, Inc. demonstrates mixed fundamentals in the Materials sector. Below is our complete USAR stock analysis for 2026.

Is USA Rare Earth, Inc. (USAR) a Good Investment?

Claude

USA Rare Earth is operationally insolvent with a $36.7M operating loss on just $5.7M revenue, negative operating and free cash flows of -$18.5M and -$57.1M respectively, and a completely unsustainable business model. While the company maintains a substantial $1.7B cash reserve and minimal debt, current fundamentals show a company burning cash without generating viable revenues or profitability, indicating capital is being deployed inefficiently with no clear path to sustainable operations.

USA Rare Earth, Inc. Key Strengths (USAR)

Claude
  • + Large cash reserve of $1.7B provides runway for operations
  • + Minimal debt ($0.00x debt/equity) reduces financial risk
  • + Exceptional liquidity with 36.29x current ratio
  • + Substantial asset base of $2.1B for potential operational leverage
  • + Exposure to rare earth sector with strategic importance

USAR Stock Risks: USA Rare Earth, Inc. Investment Risks

Claude
  • ! Massive operating loss of -$36.7M with only $5.7M revenue demonstrates fundamental unprofitability
  • ! Negative operating cash flow of -$18.5M and free cash flow of -$57.1M show unsustainable operations
  • ! Critically low gross margin of 1.9% indicates severe cost structure problems
  • ! Cash burn rate unsustainable long-term despite large reserves; depletion trajectory concerning
  • ! Deteriorating EPS of -$0.34 with -727.5% YoY decline signals worsening operational performance

Key Metrics to Watch

Claude
  • * Operating cash flow trend and path to positive cash generation
  • * Revenue growth rate and gross margin expansion
  • * Monthly cash burn rate and estimated runway remaining
  • * Operating expense reduction and cost structure improvements
  • * Timeline to operating breakeven

USA Rare Earth, Inc. (USAR) Financial Metrics & Key Ratios

Revenue
$5.7M
Net Income
$-67.0M
EPS (Diluted)
$-0.34
Free Cash Flow
$-57.1M
Total Assets
$2.1B
Cash Position
$1.7B

💡 AI Analyst Insight

Strong liquidity with a 36.29x current ratio provides a solid financial cushion.

USAR Profit Margin, ROE & Profitability Analysis

Gross Margin 1.9%
Operating Margin -643.6%
Net Margin -1,175.7%
ROE -3.6%
ROA -3.1%
FCF Margin -1,002.1%

USAR vs Materials Sector: How USA Rare Earth, Inc. Compares

How USA Rare Earth, Inc. compares to Materials sector averages

Net Margin
USAR -1,175.7%
vs
Sector Avg 10.0%
USAR Sector
ROE
USAR -3.6%
vs
Sector Avg 14.0%
USAR Sector
Current Ratio
USAR 36.3x
vs
Sector Avg 1.6x
USAR Sector
Debt/Equity
USAR 0.0x
vs
Sector Avg 0.6x
USAR Sector

Sector benchmarks are approximate industry averages. Actual sector performance may vary.

Is USA Rare Earth, Inc. Stock Overvalued? USAR Valuation Analysis 2026

Based on fundamental analysis, USA Rare Earth, Inc. has mixed fundamental signals relative to the Materials sector in 2026.

Return on Equity
-3.6%
Sector avg: 14%
Net Profit Margin
-1,175.7%
Sector avg: 10%
Revenue Growth
N/A
Year-over-year
Debt/Equity
0.00x
Sector avg: 0.6x

Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.

USA Rare Earth, Inc. Balance Sheet: USAR Debt, Cash & Liquidity

Current Ratio
36.29x
Quick Ratio
35.71x
Debt/Equity
0.00x
Debt/Assets
11.5%
Interest Coverage
-1,047.86x
Long-term Debt
N/A

USAR Revenue & Earnings Growth: 5-Year Financial Trend

USAR 5-year financial data: Year 2025: Revenue $1.6M, Net Income -$15.7M, EPS $-0.40.
Revenue
Net Income
EPS (right axis)

5-Year Trend Summary: USA Rare Earth, Inc.'s revenue has remained relatively flat over the 5-year period, with a 0% decline. The most recent EPS of $-0.40 indicates the company is currently unprofitable.

USAR Revenue Growth, EPS Growth & YoY Performance

Revenue Growth
N/A
Year-over-year
Net Income Growth
N/A
Year-over-year
EPS Growth
N/A
Earnings per share
FCF Margin
-1,002.1%
Free cash flow / Revenue

USAR Quarterly Earnings & Performance

Quarterly financial performance data for USA Rare Earth, Inc. including revenue, net income, and earnings per share.
Quarter Revenue Net Income EPS
Q1 2026 N/A $51.8M $-0.34

Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.

USA Rare Earth, Inc. Dividends, Buybacks & Capital Allocation

Operating Cash Flow
-$18.5M
Cash generated from operations
Stock Buybacks
$246.9M
Shares repurchased (TTM)
Capital Expenditures
$38.6M
Investment in assets
Dividends
None
No dividend program

USAR SEC Filings: Latest 10-K & 10-Q Analysis

Access official SEC EDGAR filings for USA Rare Earth, Inc. (CIK: 0001970622)

📋 Recent SEC Filings

Date Form Document Action
May 21, 2026 4 xslF345X06/wk-form4_1779402901.xml View →
May 21, 2026 4 xslF345X06/wk-form4_1779394858.xml View →
May 21, 2026 4 xslF345X06/wk-form4_1779394792.xml View →
May 21, 2026 4 xslF345X06/wk-form4_1779394786.xml View →
May 21, 2026 4 xslF345X06/wk-form4_1779394780.xml View →

Frequently Asked Questions about USAR

What is the AI rating for USAR?

USA Rare Earth, Inc. (USAR) has an AI grade of D with 87% confidence, based on fundamental analysis of SEC EDGAR filings.

What are USAR's key strengths?

Claude: Large cash reserve of $1.7B provides runway for operations. Minimal debt ($0.00x debt/equity) reduces financial risk.

What are the risks of investing in USAR?

Claude: Massive operating loss of -$36.7M with only $5.7M revenue demonstrates fundamental unprofitability. Negative operating cash flow of -$18.5M and free cash flow of -$57.1M show unsustainable operations.

What is USAR's revenue and growth?

USA Rare Earth, Inc. reported revenue of $5.7M.

Does USAR pay dividends?

USA Rare Earth, Inc. does not currently pay dividends.

Where can I find USAR SEC filings?

Official SEC filings for USA Rare Earth, Inc. (CIK: 0001970622) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.

What is USAR's EPS?

USA Rare Earth, Inc. has a diluted EPS of $-0.34.

How is the AI analysis conducted?

Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined grade reflects both perspectives for balanced insights.

What is USAR's fundamental grade?

Based on our AI fundamental analysis in June 2026, USA Rare Earth, Inc. has a D grade with 87% confidence. Review the strengths and risks sections above for full context. This is not investment advice.

Is USAR stock overvalued or undervalued?

Valuation metrics for USAR: ROE of -3.6% (sector avg: 14%), net margin of -1,175.7% (sector avg: 10%). Compare these metrics with sector averages to assess valuation.

What is USAR's AI grade for 2026?

Our dual AI analysis gives USA Rare Earth, Inc. a combined D grade for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.

What is USAR's free cash flow?

USA Rare Earth, Inc.'s operating cash flow is $-18.5M, with capital expenditures of $38.6M. FCF margin is -1,002.1%.

How does USAR compare to other Materials stocks?

Vs Materials sector averages: Net margin -1,175.7% (avg: 10%), ROE -3.6% (avg: 14%), current ratio 36.29 (avg: 1.6).

Top Rated Stocks
AAPL 92% MSFT 92% FAST 92% ANET 88% RDDT 88% KNSL 88% MGRE 88% FIZZ 88% DECK 87% NVDA 87%
Disclaimer: This analysis is generated by Claude AI (Anthropic) and ChatGPT (OpenAI) based on publicly available SEC EDGAR filings. It does not include stock price data and should not be considered financial advice. All fundamental data is sourced from SEC public domain filings. Always conduct your own research and consult with a qualified financial advisor before making investment decisions.
Data Source: SEC EDGAR | Analysis Date: May 15, 2026 | Data as of: 2026-03-31 | Powered by Claude AI