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Zacks Thematic Screens lets you dive into 30 dynamic investment themes shaping the future. Whether you're interested in cutting-edge technology, renewable energy, or healthcare innovations, our themes help you invest in ideas that matter to you.
For those interested in viewing the Thematic lists, please click here >>> Thematic Screens – Zacks Investment Research.
Let’s look closer at the ‘Nuclear’ theme and analyze a few stocks that the screen returned, such as Constellation Energy CEG and Cameco CCJ. Below is a chart illustrating the performance of each over the last year, with the S&P 500 blended in as a benchmark.
Image Source: Zacks Investment Research
Nuclear Overview
Nuclear energy stands at the cusp of the global push for a low-carbon, greener, and more resilient energy future. This investment theme encapsulates companies engaged in uranium mining, nuclear reactor construction and maintenance, electricity generation from nuclear sources, and firms providing essential technology and services to the nuclear industry.
As nations seek reliable and consistent power sources amid rising energy demands and geopolitical tensions, nuclear energy offers a unique solution with its near-full capacity operations and zero emissions. The artificial intelligence frenzy accelerated this trend massively, with data centers requiring vast power to operate efficiently.
Cameco Sees Positive Trends
With assets on three continents, Cameco is one of the world's largest uranium producers, positioning it nicely to reap the growing demand for nuclear energy.
Tim Gitzel, CEO, delivered a positive statement following the release of its last quarterly print, stating, “We are continuing to see a positive shift in government, industry and public support for nuclear energy, further supported by recent announcements between utilities, reactor developers, and the industrial energy users, who are now extending financial support to ensure future access to clean, reliable and scalable nuclear power. Cameco, with our assets and investments across the fuel and reactor life cycles, is uniquely positioned to benefit from those tailwinds as a responsible, commercial supplier with multiple long-lived, tier-one assets in reliable jurisdictions, proven operating experience, and a strong balance sheet to execute our strategy.”
Nonetheless, the near-term EPS outlook remains largely unfavorable, with analysts cutting their expectations nearly across the board. The stock is currently a Zacks Rank #3 (Hold).
Image Source: Zacks Investment Research