New York, Jan 30, 2026, 15:36 EST — Regular session
- USAR shares climbed 1.4% in afternoon trading following a volatile start to the day on Friday
- Chairman Michael Blitzer reported buying 100,000 shares on the open market
- Traders are digesting new U.S. hints on backing for critical-minerals pricing alongside the company’s $1.5 billion PIPE raise
Shares of USA Rare Earth, Inc. (USAR) jumped nearly 12% on Friday, before settling up 1.4% at $22.37 in afternoon trading. The move followed chairman Michael Blitzer’s disclosure of an open-market share purchase. Trading volume surged past 26 million shares, highlighting how closely the stock is moving alongside Washington news.
The shift came after a shock on Thursday when Reuters reported the Trump administration is pulling back from talks on “price floors” — government-backed minimum prices for U.S. critical-minerals projects. Energy Department official Audrey Robertson told industry leaders, “We’re not here to prop you guys up,” according to Reuters. Canaccord analyst Reg Spencer added that projects will still have to stand on “their own merits.” (Reuters)
USA Rare Earth announced this week it secured $1.5 billion through a private investment in public equity (PIPE). According to an SEC filing, the company sold 69,767,442 shares at $21.50 apiece. It also intends to file a resale registration statement within 30 days of the closing on Jan. 28. (SEC)
Blitzer snapped up 100,000 shares on Jan. 29, paying a weighted average of $21.4386 each, according to a Form 4 filing. That boosted his direct holdings to 847,500 shares. The stock was bought in several trades ranging from $21.32 to $21.49, the filing noted. (SEC)
USA Rare Earth announced Thursday that Inflection Point anchored its PIPE, with several key strategic investors also joining in. Cantor Fitzgerald took the lead as placement agent, working alongside Moelis. The company intends to deploy the funds to speed up development of its full “mine-to-magnet” supply chain, covering mining, processing, metal production, and magnet manufacturing. (Nasdaq)
The financing adds to a federal-backed package the company announced earlier this week, which includes proposed funding and a CHIPS Act loan, as Washington pushes to strengthen domestic supply chains for defense and high-tech sectors. CEO Barbara Humpton told investors, “What would be the cost of having access to nothing?” (Reuters)
Rare earths consist of 17 elements found in high-strength magnets used in electric motors, phones, and certain weapons systems. For miners, a price floor acts as a safeguard, cushioning a market largely influenced by China’s grip on supply and pricing.
At present, the stock is hovering just above the PIPE price of $21.50, offering little space for fresh concerns over policy backing or execution risks. Similar companies have tracked this move this week, as investors wrestle with which projects could still receive support — and in what form.
The downside scenario is straightforward. The PIPE introduces a hefty chunk of new shares, while the proposed government deal would tack on more equity and warrants. That ramps up dilution concerns if the company needs extra funds to expand its facilities. Policy uncertainty cuts both ways, and one clarification can quickly swing the sector’s direction.
Next on the agenda: paperwork and follow-up. Traders are eyeing the resale registration statement, which the company plans to file by Feb. 27, along with any new guidance from U.S. officials on the framework for future critical-minerals support.
