Why Centrus Energy (LEU) Is Up 11.8% After Announcing Major Uranium Plant Expansion in Ohio

• In September 2025, Centrus Energy, alongside Ohio state officials and development agencies, announced plans to expand its uranium enrichment plant in Piketon, Ohio, targeting the addition of 1,000 construction jobs and 300 new operations roles, contingent on federal funding and collaborations with international partners.
• This expansion underscores Centrus's position as the only producer using exclusively American-made centrifuge technology, reflecting increased focus on domestic energy independence and supply chain reshoring in the nuclear sector.
• We'll examine how this multi-billion-dollar plant expansion, fueled by substantial capital commitments, shapes Centrus Energy's investment outlook.

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Centrus Energy Investment Narrative Recap

Shareholders in Centrus Energy typically believe in the long-term need for domestic uranium enrichment and value the company’s unique position as the only major US-based player. The Piketon plant expansion promises to accelerate capacity growth, but the most important short-term catalyst remains the allocation and timing of US Department of Energy funding, a process that still carries significant uncertainty and risk for the company’s growth trajectory.

Among recent announcements, Centrus' signing of an MOU with Korea Hydro & Nuclear Power and POSCO International on August 25, 2025 is most relevant here. This agreement, focused on potential international investment for the Piketon expansion, could bolster the company’s ability to secure funding and underscores how critical federal and private commitments will be to unlocking new production capacity.

But while near-term hiring plans and utility purchase commitments feature in the headlines, investors should also be aware of the risk that...

Read the full narrative on Centrus Energy (it's free!)

Centrus Energy's narrative projects $640.9 million revenue and $70.3 million earnings by 2028. This requires 13.6% yearly revenue growth but a decrease in earnings of $34.5 million from the current $104.8 million.

Uncover how Centrus Energy's forecasts yield a $242.86 fair value, a 30% downside to its current price.

Exploring Other Perspectives

Simply Wall St Community members have offered nine fair value estimates for Centrus Energy ranging from US$72.48 to US$310 per share. While opinions span a wide spectrum, the immediate challenge remains whether federal funding commitments materialize as anticipated, shaping both near-term growth and future returns, explore a range of viewpoints before drawing any conclusions.

Explore 9 other fair value estimates on Centrus Energy - why the stock might be worth less than half the current price!

Build Your Own Centrus Energy Narrative

Disagree with existing narratives? Create your own in under 3 minutes - extraordinary investment returns rarely come from following the herd.

• A great starting point for your Centrus Energy research is our analysis highlighting 2 key rewards and 2 important warning signs that could impact your investment decision.
• Our free Centrus Energy research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate Centrus Energy's overall financial health at a glance.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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