Centrus Energy (LEU) Stock Forecast & Price Target

Centrus Energy Corp has demonstrated a robust performance with its Technical Solutions segment experiencing a significant 31% year-over-year revenue increase to $30.1 million, largely attributed to the successful DOE HALEU operations contract. The company's strong stock performance over the past twelve months reflects a 221% increase in LEU shares, outperforming various industry peers, including smaller modular reactors and uranium producers. Furthermore, by the end of the third quarter in 2025, Centrus reported approximately $1.6 billion in unrestricted cash and marketable securities, signaling a strong liquidity position bolstered by a successful convertible notes offering and positive operating income year-to-date.

Centrus Energy's stock faces a negative outlook primarily due to a significant decline in nuclear power generation, which has fallen from nearly 18% in the mid-1990s to about 9% by 2024, largely attributed to safety concerns and political decisions regarding nuclear energy. The company also grapples with operational risks related to the First-of-a-Kind (FOAK) nature of its AC100 commercial deployment, where cost overruns and schedule delays may negatively impact revenue recognition. Additionally, Centrus is expected to encounter challenges with supply disruptions, increasing separative work unit (SWU) prices above $200, and dependency on federal appropriations that may lag, leading to heightened volatility and potential growth limitations.