USA Rare Earth (NASDAQ: USAR) is a small company working to solve a big problem: the United States' reliance on China for rare earth elements (REEs). Currently, mining company MP Materials (NYSE: MP) is the only U.S. firm producing and processing REEs at scale. It is also the only U.S. company making permanent magnets, the vital products made using REEs.
Excitement around REE companies has helped USA Rare Earth’s shares rise approximately 150% over the past 52-weeks. Still, the basic materials stock is among the most volatile in the market, now down well more than 50% from highs.
