USA Rare Earth (USAR) Soars 40% on Site Progress; Govt Eyes $1.6-Billion Stake

We recently published 10 Stocks With Effortless Double-, Triple-Digit Gains. USA Rare Earth Inc. (NASDAQ:USAR) was one of the top performers last week.

USA Rare Earth jumped by 40.02 percent week-on-week, as investors cheered progress on the development of its Round Top Rare Earth Project in Sierra Blanca, Texas.

In a statement on Thursday, USA Rare Earth Inc. (NASDAQ:USAR) said that it tapped Fluor and WSP as its Engineering, Procurement, and Construction Management (EPCM) partners to advance the Definitive Feasibility Study for the said site.

USA Rare Earth’s magnet facility in Stillwater, Oklahoma. Photo from the USA Rare Earth website

The first phase of the study is targeted to be completed using results from its solvent extraction (SX) pilot work, which is currently underway at its facility in Wheat Ridge, Colorado.

At the same time, USA Rare Earth Inc. (NASDAQ:USAR) plans to operate its demonstration plant in Wheat Ridge, Colorado, for at least 2,000 continuous hours, with operations currently expected to conclude in October 2026.

In parallel, USA Rare Earth Inc. (NASDAQ:USAR) expects to carry out confirmatory and geotechnical drilling at Round Top in the first half of 2026, along with a heap leach optimization study, to support mine design and engineering.

Meanwhile, investors will closely watch out for how the company will perform when markets reopen on Monday, following news over the weekend that the US government is officially acquiring a $1.6 billion stake in the listed firm.

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.