Centrus Energy (LEU) Stock Forecast & Price Target

Centrus Energy Corp has demonstrated a strong performance in its Technical Solutions segment, achieving a 31% year-over-year revenue increase to $30.1 million, supported by the Department of Energy's HALEU operations contract, which contributed $3.5 million in gross profit. The company has also experienced significant growth in its LEU segment, with a 29% revenue increase year-over-year, while its cash and marketable securities reached approximately $1.6 billion as of September 30, 2025, reflecting a solid financial position bolstered by a recent convertible notes offering. Additionally, LEU shares have surged approximately 221% over the trailing twelve months, significantly outperforming peer groups and underscoring investor confidence in Centrus Energy's future prospects within the expanding nuclear power industry.

Centrus Energy Corp faces a declining revenue outlook primarily due to a significant drop in nuclear power generation, which has decreased from nearly 18% in the mid-1990s to just under 9% by 2024, largely attributed to safety concerns and changing political landscapes. The company's reliance on its Low-Enriched Uranium segment poses risks from potential delivery obligations being impaired due to federal appropriations lagging and supply chain disruptions, which could negatively impact near-term margins. Additionally, the challenging nature of the advanced commercial deployment of new technologies raises concerns over costs exceeding expectations and possible delays in revenue recognition, further complicating the company's financial stability.