$UEC

Urenco USA's National Enrichment Facility in New Mexico has completed 75% of its expansion, adding 700,000 SWUs of uranium enrichment capacity. The facility aims to reach 7 million SWUs by 2034. U.S. nuclear energy demand is rising, driven by AI and data centers, but reliance on foreign fuel poses risks. Uranium Energy Corp. (UEC) has also started production at its Burke Hollow uranium project in Texas.

Cameco (CCJ), Centrus Energy (LEU), and Uranium Energy (UEC) are positioned to benefit from a growing demand for nuclear fuel. Cameco offers uranium production and fuel services, Centrus focuses on uranium enrichment, and Uranium Energy is expanding domestic uranium production. The companies provide different investment opportunities in the nuclear fuel supply chain.

Uranium Energy Corp (UEC) has formed a National Security Advisory Council, co-chaired by former NNSA Administrator Tom D'Agostino and Admiral James Caldwell. The council includes officials with nuclear security and U.S. Navy backgrounds, aiming to support UEC's expansion into uranium conversion. UEC is America's largest uranium company, listed on the NYSE American.

Uranium prices hit new highs, with long-term contracts at $96.50/lb and spot at $89.63/lb, according to Cameco. Despite this, uranium equities like Cameco (CCJ) and the VanEck Uranium ETF (NLR) have declined. Policy support for nuclear energy grew, with a U.S.-Korea framework for reactor deployment. Lithium prices also rose, with Chinese battery-grade lithium carbonate averaging 122,350 yuan/tonne.

Uranium prices hit a 19-year high of $96/lb, but nuclear stocks fell. Cameco (CCJ) dropped 7% in 2026, despite the price surge. Utilities are hesitant to sign new contracts, and term contracting volumes fell 15%. Other nuclear stocks like UEC, OKLO, and SMR also saw significant declines.

Uranium Energy Corp. (UEC) and enCore Energy Corp. (EU) are U.S. uranium producers with market caps of $4.63B and $209M, respectively. UEC reported FY production of 229,294 lbs, with Q4 output at 82,744 lbs. Cash production costs were $30.01/lb, total costs $36.54/lb. UEC has $753M in liquid assets, including $495M cash, and no debt. Investors must consider production risks and financing demands.

Bank of America analysts forecast a 100 GW power shortfall in the U.S. by 2028 due to AI-driven demand. Six companies—Bloom Energy, Uranium Energy, Uranium Royalty, DigiPower X, VivoPower, and IREN—are positioned to benefit from this shortage, offering solutions in fuel cells, uranium, royalties, and data center infrastructure.

RBC's Andrew Wong sees strong crop prices supporting North American fertilizer companies. He upgraded Nutrien (NTR) to 'outperform' with a $85 target, citing strong execution and supportive market conditions. He downgraded Mosaic (MOS) to 'sector perform' with a $25 target due to phosphate market challenges. Scotia's Jonathan Goldman upgraded Russel Metals (RUS) to 'sector outperform' with a $113 target, citing business transformation and strong demand.

Uranium Energy Corp. (UEC) reported Q4 output of 82,744 pounds of U3O8, up 157% QoQ, with costs dropping 33%. The company has $495M in cash, no debt, and holds 1.256M pounds of inventory. UEC's forward P/E is 178.57, reflecting high market expectations for future production. Growth depends on regulatory approvals and a planned refining arm, with risks including uranium price fluctuations and operational delays.

Uranium Energy Corp (UEC) gained 1.3% after RBC initiated coverage with a Sector Perform rating and $10 target, citing its domestic uranium supply chain ambitions and execution risks. RBC highlighted UEC's production assets in Wyoming and Texas, the Roughrider project in Saskatchewan, and new U.S. conversion capacity plans, while noting operational uncertainties.