Alex Rygiel, an analyst from B.Riley Financial, reiterated the Buy rating on Centrus Energy (LEU – Research Report). The associated price target is $72.00.
Alex Rygiel from B.Riley Financial firm has given a Buy rating to Centrus Energy Corp. due to a combination of factors. Despite lower revenue in the 3Q23 results, the company exceeded expectations with higher EPS due to a tax benefit. The revenue shortfall in this quarter was attributed to an unpredictable sales pattern of uranium and is not seen as a measure of the company’s future success. Of notable importance, the company has achieved a significant milestone by initiating production of HALEU at its plant in Piketon, OH ahead of schedule.
Additionally, Centrus Energy has completed Phase I of its contract with DOE, delivering 20kg of HALEU under budget and nearly two months ahead of the planned schedule. The company is now progressing to Phase 2 of the contract, where it is projected to produce and deliver 900kg of HALEU to the DOE over the next year. Rygiel believes that the established LEU business is on track, and the HALEU enrichment facility, now proven, is set for greater production in 2024. Furthermore, potential federal funding and a growing interest in clean energy and domestic LEU/HALEU uranium enrichment capabilities present promising prospects for the company.
Rygiel covers the Industrials sector, focusing on stocks such as JELD-WEN, Builders Firstsource, and Dycom. According to TipRanks, Rygiel has an average return of 12.6% and a 52.41% success rate on recommended stocks.
In another report released today, Roth MKM also reiterated a Buy rating on the stock with a $57.00 price target.
See Insiders’ Hot Stocks on TipRanks >>
TipRanks tracks over 100,000 company insiders, identifying the select few who excel in timing their transactions. By upgrading to TipRanks Premium, you will gain access to this exclusive data and discover crucial insights to guide your investment decisions. Begin your TipRanks Premium journey today.
Centrus Energy (LEU) Company Description:
Centrus Energy Corp. engages in the supply of nuclear fuel and services for the nuclear power industry. It operates through the low-enriched uranium (LEU) and Contract Services segments. The LEU segment has two components which include the sale of SWU and uranium. The Contract Services segment relates to the contract with UT-Battelle and limited services provided by Centrus to the United States Department of Energy and to contractors at the Piketon facility. The company was founded in October 1992 and is headquartered in Bethesda, MD.
Read More on LEU:
