Analysts have raised Centrus Energy's price target from $146.46 to $189.63, citing its unique position as the only NRC-licensed HALEU supplier, strengthened by supportive federal policy, recent DOE contracts, and rising demand for advanced nuclear technologies.
Analyst Commentary
- Bullish analysts see Centrus as uniquely positioned to capitalize on the rebuilding of the U.S. nuclear enrichment supply chain, being the only publicly traded pure-play in this sector.
- Growing federal support and recent U.S. Department of Energy contract extensions are expected to provide Centrus with near- and long-term revenue visibility and growth opportunities.
- Major policy tailwinds, increased urgency for carbon-free baseload energy, and nuclear power's growing role in clean energy transition are fueling optimism for the broader nuclear sector and Centrus specifically.
- Strategic partnerships and private investments in advanced nuclear technologies such as TerraPower's Natrium reactor are reinforcing the demand outlook for Centrus’ High-Assay Low-Enriched Uranium (HALEU) products.
- Centrus’ position as the sole NRC-licensed provider of HALEU for commercial and national security uses, combined with incremental DOE funding and SMR partner investments, is seen as a significant differentiator and growth lever.
What's in the News
- U.S. Department of Energy exercised an option to extend Centrus Energy’s contract for HALEU production through June 30, 2026.
- The contract includes further Department of Energy options for up to eight additional years of HALEU production, subject to appropriations.
- Centrus previously completed Phase I by demonstrating first-of-a-kind HALEU production and delivering 20 kg; Phase II targets an additional 900 kg by June 30, 2025.
- Current extension initiates Phase III, with the potential for up to nine total years of additional HALEU production at an annual target of 900 kg.
- All HALEU produced under this contract will belong to the Department of Energy for use in advancing national nuclear priorities, including commercialization of advanced reactors.
Valuation Changes
Summary of Valuation Changes for Centrus Energy
- The Consensus Analyst Price Target has significantly risen from $146.46 to $189.63.
- The Future P/E for Centrus Energy has significantly risen from 41.79x to 64.39x.
- The Consensus Revenue Growth forecasts for Centrus Energy has significantly fallen from 8.0% per annum to 6.2% per annum.
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