Energy Fuels UUUU is trading at a forward 12-month earnings multiple of 12.86X, at a significant premium to the non-ferrous mining industry’s 2.68.
UUUU’s Value Score of F suggests that the stock is not so cheap and indicates a stretched valuation at this moment.
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Other uranium stocks, Cameco CCJ and Centrus Energy LEU, are cheaper options, currently trading at price-to-sales multiples of 9.35X and 3.63X respectively. Uranium Energy UEC is trading at a higher multiple of 27.72X.
UUUU's Valuation Vs CCJ, LEU & UEC
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The UUUU stock has declined 13.6% year to date against the industry’s 3.7% drop. Meanwhile, the broader Zacks Basic Materials sector has gained 4.7%, while the S&P 500 has edged down 0.3% in the same timeframe.
UUUU’s YTD Price Performance Vs Industry, Sector & S&P 500
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Centrus Energy has gained 38.5% year to date, while Cameco has been flat. Meanwhile, Uranium Energy has underperformed Energy Fuels, with a year-to-date decline of 16.9%.
UUUU's YTD Price Performance Vs CCJ, LEU & UEC
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UUUU’s Q1 Results Reflect Absence of Uranium Sales
The company reported first-quarter 2025 results on May 7. Revenues in the quarter were down 33.5% year over year to $16.9 billion but beat the Zacks Consensus Estimate of $15 billion.
Revenues in the quarter comprised those from Heavy Mineral Sands (HMS) as the company sold 6,836 tons of rutile, 12,852 tons of ilmenite, both used for the production of titanium products, and 1,429 tons of zircon, used for the production of zirconium.
Meanwhile, Energy Fuels decided to hold back on uranium sales in response to the low prices. This led to the year-over-year decline in total revenues. In comparison, UUUU generated $25 million in uranium revenues in the last-year quarter. It intends to sell its uranium inventory when market conditions become more favorable.
Energy Fuels incurred a loss of 13 cents per share in the quarter, which missed the Zacks Consensus Estimate of a loss of 5 cents. The company had reported earnings of 2 cents in the year-ago quarter.
The weaker-than-expected results reflect the lack of uranium sales, as well as the ongoing ramp-up at its Pinyon Plain, La Sal and Pandora Mines. Higher costs, associated with the increased headcount of retained Base Resources employees, the Kwale mine reclamation and lower grade HMS produced, also impacted the results.
Energy Fuels Boasts Debt-Free Balance Sheet
As of March 31, 2025, Energy Fuels had $214.61 million of working capital, including $73 million of cash and cash equivalents, $89.64 million of marketable securities, and $20.37 million in trade and other receivables, as well as $67.68 million of inventory.
The company has no debt on its balance sheet. Its peer, Uranium Energy, also has a debt-free balance sheet. This is commendable compared with Cameco’s debt-to-capital ratio of 0.13 and Centrus Energy’s 0.68.
UUUU 2025 View: Production Impresses, Sales Disappoint
Energy Fuels produced 150,000 pounds of finished uranium in the first quarter of 2025. It also purchased 50,000 pounds of uranium at $64.75 per pound to add to its inventory and sell the same when prices rebound.
In April 2025, UUUU mined 4,604 tons of ore, containing roughly 151,400 pounds of uranium with an average grade of 1.64% uranium at the Pinyon Plain mine. Per the company, this is one of the highest-grade uranium mines in the history of the United States. The company stated April's results represented the largest monthly production rate since mining began last year.
Energy Fuels expects to process 700,000 pounds of uranium in the fourth quarter, resulting in the production of up to 1,000,000 pounds of finished uranium in 2025. This is way higher than the company’s previous target of 200,000-250,000 pounds.
The company plans to mine 875,000-1,435,000 pounds of uranium in 2025 compared with the previously mentioned 730,000-1,170,000 pounds.
However, uranium sales for 2025 are projected at 220,000 pounds compared with the previously mentioned 200,000-300,000 pounds. In 2024, the company sold 450,000 pounds of uranium.
Energy Fuels Witnesses Downward Revision Activity
Estimates for UUUU for 2025 and 2026 have undergone negative revisions over the past 90 days. The estimate for 2025 has moved down from earnings of 11 cents to a loss of 28 cents. The estimate for 2026 has moved 70% south to 6 cents.
(Find the latest earnings estimates and surprises on Zacks Earnings Calendar.)
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The estimate for the 2025 revenues is pegged at $41.40 million, suggesting a 47% year-over-year decline. The company is expected to incur a loss of 28 cents in 2025.
The estimate for 2026 revenues is $137.6 million, implying a 232.4% year-over-year upsurge. The consensus estimate for earnings is pegged at 6 cents. This suggests that 2026 will be the company’s first year of profit since it started trading on the NYSE in December 2013.
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Low Uranium Prices Act as Headwinds for UUUU
Uranium prices are currently at $70 per pound, down 21% in a year. Prices have been impacted by adequate supply amid uncertain demand. Lower uranium sales and prices are expected to hurt its results this year.
Energy Fuels’ Long-Term Story Holds Promise
The increasing demand for uranium and REEs in clean energy technologies, and the push for supply chains independent of China, is a growth opportunity for UUUU. Considering that the White Mesa Mill in Utah is the only U.S. facility able to process monazite and produce separated REE materials, this gives the company an edge.
Backed by its debt-free balance sheet, Energy Fuels is ramping up uranium production while developing significant REE capabilities. In sync with this strategy, the company acquired Base Resources Limited in October 2024, gaining access to the promising Toliara Mineral Sand Project. In addition to REE metals, this strengthens UUUU’s potential to become a major producer of titanium and zirconium minerals.
Taking UUUU’s current production levels and development pipeline into account, the company has the potential to produce 6 million pounds of uranium per year.
Our Final Take on UUUU Stock
Considering the premium valuation, decline in uranium prices, downward earnings revisions activity and projected loss for the current year, selling Energy Fuels’ stock will be prudent at present. UUUU currently carries a Zacks Rank #4 (Sell). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
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