Why USA Rare Earth Stock Soared Today

By Scott Levine – Mar 2, 2026 at 6:24PM ESTKey PointsUSA Rare Earth stock soared last week and continued rising higher today.The company has the potential to help the United States reduce its reliance on China for rare-earths.Despite the strengths and opportunities of USA Rare Earth stock, invsetors must be cognizant of the risks as well.After climbing 9.7% higher last week, USA Rare Earth (USAR +10.58%) stock continued its upward trajectory today. With the conflict in Iran escalating over the weekend, many recognized the U.S.-based rare-earth miner as an attractive investment. At the end of today's trading session, shares of USA Rare Earth stock logged a 10.4% gain from its closing price before the weekend. Image source: Getty Images. There's more than one reason why shares flew higher today With the increase in military action in Iran this weekend, investors were reminded of the appeal of USA Rare Earth, which could help the United States shore up its rare-earth supply. The company owns the Round Top deposit in Texas, a vast resource of heavy rare-earth elements, and it's developing a rare-earth magnet production facility in Oklahoma. ExpandNASDAQ: USARUSA Rare EarthToday's Change(10.58%) $2.00Current Price$20.90Key Data PointsMarket Cap$4.1BDay's Range$18.40 - $21.0552wk Range$5.56 - $43.98Volume322KAvg Vol18M China, which accounts for the majority of rare-earth global production, has been critical of the recent U.S. action in Iran. Investors are likely fearful that the tense trade relations, which led to China imposing rare-earth export restrictions in April 2025, may resurface. Plus, investors are likely recognizing the allure of USA Rare Earth stock, as the military action over the weekend is a reminder of the importance of rare-earth elements to the defense industry. From fighter jets to munitions to radars, rare earths are critical materials used in a variety of defense solutions. Is USA Rare Earth stock a buy based on the military action in Iran? With the potential to shore up the domestic supply of rare-earth metals, USA Rare Earth is a compelling mining stock for investors to consider right now. Management projects 2030 revenue of $2.6 billion and free cash flow of $900 million. But that assumes (among other things) the successful development of the company's mining operations and magnet production facility. There are still plenty of challenges ahead for the company, and the onset of military action in Iran shouldn't distract potential investors from the risks of investing.Read NextFeb 27, 2026 •By Lee SamahaHere's Why USA Rare Earth Shares Surged This WeekFeb 17, 2026 •By Courtney CarlsenThe U.S.

Government Is Investing $1.6 Billion in USA Rare Earth.

Does That Make the Stock a Buy?Feb 17, 2026 •By Justin PopeUSA Rare Earth Stock: Buy, Sell, or Hold?Feb 13, 2026 •By Thomas NielShould You Buy USA Rare Earth While It's Below $25?Feb 12, 2026 •By Lee SamahaUSA Rare Earth Stock is Soaring in 2026, Is it Still a Buy?Feb 10, 2026 •By Scott LevineKey Takeaways From USA Rare Earth's Big DealAbout the AuthorScott Levine is a contributing Motley Fool stock market analyst covering energy, industrials, technology, and materials. He is also a high school English teacher and a small business owner. He holds a bachelor’s degree in English and creative writing from Binghamton University, a master’s degree in secondary education from Adelphi University, and an advanced certificate in school building leadership from CUNY Queens College. A crossword puzzle enthusiast, he has solved more than 3,100 New York Times puzzles with a 97% solve rate.TMFProudMonkeyX@TMFProudMonkeyStocks MentionedUSA Rare EarthNASDAQ: USAR$20.90(+10.58%)+$2.00*Average returns of all recommendations since inception. Cost basis and return based on previous market day close.