Is USA Rare Earth Stock a Buy Now?
USA Rare Earth (NASDAQ: USAR) is a mining company that's part of a larger strategy in the U.S. to build a domestic rare-earth supply chain.
The company controls a big mountain in Texas -- Round Top -- that's full of rare-earth metals that can make powerful magnets used in electric vehicles (EVs), electronics, clean energy technology, and defense systems. Right now, China manufactures most of these high-performance magnets, which underscores the urgency in developing a home-grown source for the U.S.
Indeed, the Trump administration plans to take a 10% stake in USA Rare Earth. This will be through a $1.6 billion deal aimed at backing its rare-earth mine in Texas and a separate magnet manufacturing facility in Oklahoma.
Source Fool.com
