12 Best Nuclear Power Stocks to Buy Now

6. Cameco Corporation (NYSE:CCJ)

Number of Hedge Fund Holders: 65

Cameco Corporation (NYSE:CCJ) is one of the largest global providers of uranium fuel with a licensed capacity to produce more than 53 million pounds of uranium concentrates annually, backed by more than 464 million pounds of proven and probable mineral reserves.

Cameco Corporation (NYSE:CCJ) had a strong Q4 2024 as its revenue of $834.83 million shot up by over 33% YoY, topping expectations by $68.38 million. The uranium producer’s full-year revenue for 2024 also surged by 21%, driven primarily by increased prices  The company’s average realized price rose 17% to $58.34 per pound while its sales volumes grew 5% in 2024. CCJ also achieved record production at its key McArthur River/Key Lake mine last year, made possible by its investments in automation, digitization, and optimization projects.

Cameco Corporation (NYSE:CCJ) maintains a robust balance sheet, with $600 million in cash and cash equivalents, and $1.3 billion in total debt at the end of 2024. Cameco increased its annual dividend per share by a solid 33% last year and expects to significantly raise its payouts even further in 2025 and 2026.

Aristotle Capital Management, LLC stated the following regarding Cameco Corporation (NYSE:CCJ) in its Q4 2024 investor letter:

“Cameco Corporation (NYSE:CCJ), one of the world’s largest uranium producers, was a major contributor during the period. With the continued focus on artificial intelligence and clean energy, the demand for nuclear energy remained robust. Some of the largest companies in the world, such as Amazon, Google and Meta, announced nuclear power agreements in the quarter. Given Cameco’s tier-one assets in reliable jurisdictions, proven operating experience and strong reputation, we believe the company is in a unique position to benefit as various industries and governments pursue clean, reliable and scalable sources of energy. Correspondingly, Cameco increased its production outlook, having already secured commitments that net an average of 29 million pounds per year over the next four years. We believe Cameco’s continued ability to efficiently increase production while securing long-term contracts will lead to sustainably higher levels of normalized FREE cash flow. While its Canada-based mines and Westinghouse unit are executing well, production was recently suspended at Cameco’s Inkai joint venture in Kazakhstan. We believe production will restart soon and note that Cameco’s share of Inkai’s production amounts to less than 10% of total Cameco volumes, a figure that can be offset with increased production at the company’s MacArthur River and Key Lake mines in Canada.”