7 Best Uranium Stocks To Buy According to Hedge Funds

2. NexGen Energy (NYSE:NXE)  

Number of Hedge Fund Investors: 33

NexGen Energy (NYSE:NXE) is a Canadian uranium exploration and development company, primarily focused on the Athabasca Basin in Saskatchewan. Its flagship Rook I project hosts the Arrow Deposit is one of the highest-grade uranium deposits in the world. NexGen Energy’s (NYSE:NXE) advanced-stage projects and significant high-grade uranium reserves position it as a key player in the uranium market, with the potential to become a major uranium producer in the near future.

NexGen Energy’s (NYSE:NXE) main project Rook I is centred around a large uranium deposit discovered in 2014 known as the Arrow Deposit,  spans over 35,065 hectares and has 32 minerals. The high-grade uranium found at the Arrow Deposit is the type of uranium used in nuclear power plants to produce energy.

The recent legislation signed by Joe Biden, known as the Prohibiting Russian Uranium Imports Act, will ban the import of Russian unirradiated low-enriched uranium (LEU) to the United States. The ban will begin 90 days post-signature, with phased reductions in allowable imports leading to a complete ban by January 1, 2028. This new legislation will gradually increase the demand for uranium from allied countries, such as Canada, in the next 4 years. In Q1, NexGen Energy (NYSE:NXE) reported a 32% year-over-year increase in cash and liquid assets, primarily driven by financing activities.

The upcoming decision from the federal commission hearing can be a significant catalyst for the share price and NexGen Energy (NYSE:NXE) can have a significant upside in the next 2-4 years. In the second quarter, the company’s stock was held by 33 hedge funds with stakes worth $275.91 million. Moore Global Investments is the largest shareholder in the company with a stake worth $33.30 million as of June 30.