Jim Cramer on USA Rare Earth: "Year of Magical Investing Ended, and I Can't Make Any Exceptions"

USA Rare Earth, Inc. (NASDAQ:USAR) is one of the stocks Jim Cramer expressed his thoughts on. Inquiring about the stock, a caller mentioned that they think that the year of “American exceptionalism” might not be over. In response, Cramer said:

“Well, I’m not going to make any exceptions… the year of magical investing ended, and I can’t make any exceptions, so I’m sorry.”

USA Rare Earth, Inc. (NASDAQ:USAR) supplies rare earth elements and other critical minerals, including neodymium, dysprosium, terbium, gallium, beryllium, and lithium. A caller asked for Cramer’s thoughts on the stock during the October 30 episode and he replied:

“I’m going to say that you have to stay away for now. I mean, one of the things that you needed was that kind of mojo that came from the shortage. If we work out a longer-term deal with rare earth, it’s not, it’s not going to rebound very well for USA Rare Earth, which is losing a fortune.”

While we acknowledge the potential of USAR as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

READ NEXT: 30 Stocks That Should Double in 3 Years and 11 Hidden AI Stocks to Buy Right Now.

Disclosure: None. This article is originally published at Insider Monkey.