We recently published Jim Cramer Discussed These 13 Stocks & Shared Major Warning For Rare Earth Stocks. USA Rare Earth, Inc. (NASDAQ:USAR) is one of the stocks Jim Cramer recently discussed.

USA Rare Earth, Inc. (NASDAQ:USAR) was part of a group of stocks that William Blair initiated coverage on Monday. The firm outlined that USA Rare Earth, Inc. (NASDAQ:USAR) was one of the rare earth companies that would benefit from the US government’s attempt to bolster its rare earth supply chain. Calling the rare earth company “one of the few fully integrated rare earth companies,’ William Blair praised USA Rare Earth, Inc. (NASDAQ:USAR)’s research, magnet manufacturing, and ownership of the Round Top mine in Texas. However, Cramer advised viewers to sell USA Rare Earth, Inc. (NASDAQ:USAR):

Jim Cramer Says USA Rare Earth (USAR)'s Shares Have "Lagged" Rare Earth Stocks

Pixabay/Public Domain

“Yeah I mean that’s a real company but we have William Blair saying UAMY they love. . .US Rare Earth. These things are all like, unless Trump buys a stake in each of these one, you wanna sell these. You really do. . .because, why? Because, Antimony, it’s up 532% and they’re making a bid for some Australian rare earth, at six shares for one? That’s sounds like very 2000. Where they started merging, remember, cause they knew their stocks were too high.NeoCorp is up 432, American Resources is up 296, only US Rare Earth has lagged. It’s only up a 141. That’s lagged.

“Just buy MP Materials, that’s a real company.”

While we acknowledge the risk and potential of USAR as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than USAR and that has 10,000% upside potential, check out our report about this cheapest AI stock.

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Disclosure: None. This article is originally published at Insider Monkey.