Uranium exchange-traded funds (ETFs) took a beating on Thursday even after Bill Gates’ TerraPower received approval to build its first next-generation nuclear reactor. TerraPower has been granted approval from the Nuclear Regulatory Commission to build this new reactor in Wyoming.
Claim 30% Off TipRanks
- Unlock hedge fund-level data and powerful investing tools for smarter, sharper decisions
- Discover top-performing stock ideas and upgrade to a portfolio of market leaders with Smart Investor Picks
Investors in uranium ETFs will note that this is a major milestone for the sector. It marks the first time that the Nuclear Regulatory Commission has approved a commercial-scale, advanced nuclear power plant. It makes sense that TerraPower would receive the first of these permits, as it filed the first application for one in March 2024.
TerraPower said that it plans to begin construction of this new plant next week and that the project will be completed in 2030. The nuclear power plant is being developed via the U.S. Department of Energy’s Advanced Reactor Demonstration Program. When it goes online, it will be the first utility-scale advanced nuclear power plant in the U.S.
Uranium ETFs Slip Alongside the Nuclear Energy News
Even with today’s news, uranium ETFs have fallen.
- Global X Uranium ETF (URA) was down 4.4% today.
- NorthShore Global Uranium Mining ETF (URNM) slipped 5.45% as of this writing.
- Sprott Junior Uranium Miners ETF (URNJ) dipped 5.85% this morning.
- VanEck Uranium + Nuclear Energy ETF (NLR) dropped 3.73% on Thursday.
Which Uranium ETF Should Investors Buy?
Turning to the TipRanks ETF comparison tool, traders can find all of the latest details on the uranium ETFs mentioned above. While all of these ETFs were down today, they have experienced strong gains over the past year. This suggests today’s dip could be a good entry point for traders. Investors can also compare each of these ETFs’ AUMs, expense ratios, and dividend yield to determine which are the best for their portfolios.
