Shares of nuclear energy stock Cameco (CCJ) exploded 23% to reach a record high of $110.16 on Oct. 28 after news spread that the uranium company and Brookfield Asset Management (BAM) signed a binding term sheet with the U.S. Department of Commerce to establish a strategic partnership that will accelerate the deployment of nuclear power, in accordance with the President Donald Trump’s May 23, 2025 Executive Orders.
As part of the plan, the U.S. government will help channel at least $80 billion into the construction of new nuclear reactors powered by Westinghouse’s advanced reactor technology, including near-term financing for long-lead components. For context, Westinghouse — acquired by Brookfield and Cameco in November 2023 — is a global leader in nuclear innovation.
Once completed, these reactors are expected to deliver stable, secure, and clean energy, supporting the growing power needs of data centers and artificial intelligence (AI) driven computing infrastructure across the country. For Cameco, one of the world’s top uranium and nuclear fuel suppliers, this development marks a massive growth catalyst. As nuclear expansion ramps up worldwide, the company is positioned to benefit from strong demand for fueling next-generation reactors across both domestic and international markets.
So, with all this momentum in play, let’s take a closer look at this nuclear energy stock.
About Cameco Stock
Canada-based Cameco stands among the world’s leading suppliers of uranium fuel, a key component in building a reliable and carbon-free energy future. The company’s strength lies in its ownership of some of the largest high-grade uranium reserves and low-cost production sites globally, complemented by strategic investments across the nuclear fuel cycle, including a 49% stake in Westinghouse.
Serving utilities worldwide, Cameco provides the essential materials that keep safe and dependable nuclear power flowing. The company’s operations span three core segments: Uranium, Fuel Services, and Westinghouse. Currently valued at roughly $40 billion by market capitalization, Cameco has been on an incredible run on Wall Street.
Over the past year, the nuclear energy stock has surged an eye-catching 79%, including an impressive 83% gain in 2025 alone. For a better perspective, the broader S&P 500 Index ($SPX) has climbed a modest 13% over the past year and 16% so far this year, making Cameco’s rally stand out even more.
The surge comes amid a wave of enthusiasm for clean energy initiatives, rising energy security concerns, and a bullish outlook for the uranium market. In the last month alone, CCJ shares have rocketed by 8%, underscoring the powerful momentum behind this nuclear energy leader.
CCJ stock has certainly enjoyed a remarkable rally, but its valuation now stands at a lofty 84.21 times forward earnings and 17.17 times sales, far above the sector averages. These steep premiums raise concerns that much of the positive momentum and strong growth outlook might already be factored into the current price.
Cameco’s Q2 Earnings Snapshot
At the end of July, Cameco delivered a strong fiscal 2025 second-quarter earnings report, easily crushing Wall Street’s expectations on both top and bottom lines. Overall revenue surged 47% year-over-year (YOY) to 877 million CAD ($634.1 million), fueled by substantial uranium sales volumes and higher realized prices, further boosted by favorable currency exchange rates. The reported topline figure also blew past the consensus estimate.
Digging further, uranium segment revenues also jumped 47% YOY to 705 million CAD, with sales volume hitting 8.7 million pounds, up 40% from the same quarter last year. The Fuel Services division also impressed, with revenue climbing 37% annually to 162 million CAD, as increased volumes helped offset slightly lower average prices.
Meanwhile, Cameco's share of Westinghouse swung back to profitability, posting net earnings of 126 million CAD, up from a 47 million CAD loss a year ago. The turnaround was driven by its role in constructing two new nuclear reactors at the Dukovany power plant in the Czech Republic.
Bottom-line growth was equally striking, with adjusted EPS soaring to 0.71 CAD ($0.51), up sharply from 0.15 CAD a year earlier and also ahead of Wall Street forecasts by a significant 41.7% margin. As of June 30, 2025, Cameco held 716 million CAD in cash and cash equivalents, 1 billion CAD in total debt, and maintained access to an additional 1 billion CAD undrawn credit facility.
Looking ahead, the company expects fiscal 2025 uranium production of 18 million pounds each from its McArthur River/Key Lake and Cigar Lake operations, solidifying its role as a key player in the global nuclear energy supply chain.
Wall Street’s Opinion on Cameco Stock
Overall, Wall Street is glowing with optimism for CCJ, with the stock carrying a consensus “Strong Buy” rating. Of the 16 analysts offering recommendations, a majority of 11 analysts give it a solid “Strong Buy,” four suggest a “Moderate Buy,” and the remaining one gives a “Hold.” The average price target of $107.12 implies 13% potential upside from current levels. Meanwhile, the Street-high target of $130 implies 37% potential upside from here.
On the date of publication, Anushka Mukherji did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
More news from Barchart
- Analysts Say Nvidia Stock Is ‘Dominant’ Amid a Giant Race to ‘Secure Compute.’ Buy Shares Now?
- Cathie Wood Is Buying the Dip in Archer Aviation Stock. Should You?
- 30,000 Reasons It May Be Time to Sell Amazon Stock Now
- Airbnb Keeps Generating Strong FCF and FCF Margins and Could Be 15% -20% Too Cheap
