Centrus Energy: First-Mover in U.S. Uranium Enrichment With Long-Term Growth, Backlog Support, and Upside to $300 Target

Analyst Sameer Joshi from H.C. Wainwright reiterated a Buy rating on Centrus Energy and keeping the price target at $300.00.

Sameer Joshi has given his Buy rating due to a combination of factors tied to Centrus Energy’s expanding strategic position in the nuclear fuel supply chain and its long-term growth outlook. He views the start of domestic centrifuge manufacturing and the planned deployment to the Piketon enrichment facility as a critical move that solidifies the company’s first-mover advantage in U.S. uranium enrichment, with the Piketon site able to scale materially over time. He also highlights the company’s sizable contracted backlog, largely anchored by LEU customers and U.S. Department of Energy HALEU-related work, as a key indicator of earnings visibility and demand durability for both its fuel and technology segments.
In addition, Joshi underscores the structural demand opportunity from power-intensive data center operators, who he expects will seek long-term, reliable nuclear power and could ultimately help finance Centrus’ centrifuge expansion, thereby limiting shareholder dilution. He believes Centrus’ entrenched role in the domestic fuel supply chain gives it a multi-year lead over potential competitors as SMR and microreactor markets, and associated HALEU needs, develop in the U.S. His financial model projects strong top-line growth and improving margins over the next decade-plus, and his discounted cash flow analysis, adjusted for execution risk, supports a valuation above the current share price, leading him to reaffirm a $300 price target and a Buy recommendation despite acknowledged operational, regulatory, and market risks.