3 Rare Earth Stocks to Watch as USAR Rallies on Washington Support

Core Insights - U.S. rare earth and critical miner stocks experienced a rally due to renewed discussions in Washington about expanding federal support for domestic supply chains, boosting investor sentiment across the sector [1][10] - The U.S. government signed a non-binding deal through the Commerce Department's CHIPS Act program to provide approximately $1.6 billion in funding and loans to USA Rare Earth, Inc. (USAR), which resulted in a 7.9% increase in USAR's shares [2][10] - The reliance of the U.S. on foreign suppliers for critical minerals poses a vulnerability, prompting policymakers to consider incentives to strengthen domestic mining and processing capabilities [3][4] Industry Developments - Investors are optimistic about potential expanded tax credits, direct funding, and regulatory support that could enhance project economics and shorten development timelines for U.S. producers [4][11] - Geopolitical tensions and supply chain disruptions have underscored the strategic importance of securing reliable domestic access to key raw materials, essential for both industrial growth and defense readiness [5][11] - Long-term trends related to clean energy, electrification, and advanced technologies continue to support the investment case for critical minerals, indicating that policy signals from Washington can significantly influence the sector [6][11] Company Highlights - Coeur Mining, Inc. (CDE) is a gold and silver miner with exposure to critical minerals, showing an expected earnings growth rate of 355.6% for the current year, with a Zacks Rank of 1 [7] - Idaho Strategic Resources, Inc. (IDR) focuses on rare earths and other critical minerals, with an expected earnings growth rate of 6% for the current year and a Zacks Rank of 2 [8] - IperionX Limited (IPX) specializes in rare earth and critical mineral production, with an expected earnings growth rate of 95% for the current year, also holding a Zacks Rank of 2 [9]