We recently published a list of 12 Best Nuclear Power Stocks to Buy Now. In this article, we are going to take a look at where Cameco Corporation (NYSE:CCJ) stands against other best nuclear power stocks to buy now.
The United States of America is the largest producer of nuclear power in the world, accounting for almost 30% share of the global generation of nuclear electricity. The sector has witnessed an accelerated investor interest over the last year, largely driven by a continued focus on the goal to achieve net-zero carbon emissions and the widespread recognition of nuclear’s importance in the global ‘clean energy transition’. The International Energy Agency recently revealed that nuclear is set to generate a record level of electricity in 2025. There are more than 70 gigawatts of new nuclear capacity under construction around the world, one of the highest levels in the last 30 years, and more than 40 countries have plans to expand nuclear power’s role in their energy systems.
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One of the largest modern growth drivers of nuclear energy is SMRs, or small modular reactors, that have a power capacity of up to 300 MW(e) per unit and are quicker to build with greater scope for cost reductions. The IEA estimates that with the right support, SMR installations could reach 80 GW by 2040, accounting for 10% of the overall nuclear capacity globally. Several major US corporations are now actively working to develop the technology in the country, offering a potentially more flexible and cost-effective approach to nuclear power generation.
Another major accelerator for the industry is the ongoing AI boom and the accompanying data centers, which could consume as much as 9% of all energy generated in the US by 2030. This energy needs to come from a relatively cheap, clean, and reliable source where nuclear has massive potential. Several American tech giants are already investing billions of dollars in nuclear power and SMRs as an emissions-free source of electricity for their AI and other businesses. On the sidelines of the CERAWeek conference in Houston earlier this month, several major companies have even signed a pledge to support the goal of at least tripling the world’s nuclear energy capacity by 2050.
That said, a large number of nuclear energy stocks have lost momentum over the last year, primarily due to a steep fall in the prices of uranium. From highs of more than $105 per pound at the start of 2025, uranium prices have plunged to just over $63 currently. The decline of over 26% is influenced by factors such as the winding up of the Kazakh-based ANU, Trump tariff uncertainties, and geopolitical tensions with Russia, which account for around 44% of the global uranium enrichment capacity.
The United States imports the lion’s share of its uranium from Canada and President Trump’s 10% tariffs on energy imports from the northern neighbor could significantly hamper the growth of the nuclear sector. A Canadian uranium miner and producer stated last month that prices for US customers could jump by 10% if Trump’s tariff threats were to be implemented, raising costs for a sector that is looking to explode over the coming decade.
With that said, here are the Best Nuclear Energy Stocks to Invest in.
A close up of the reactor core, highlighting the complexity of the uranium power process.
Our Methodology
To collect data for this article, we scanned Insider Monkey’s database of over 1,000 hedge funds and picked the top 12 companies operating in the nuclear power sector with the highest number of hedge fund investors in Q4 of 2024. When two or more companies had the same number of hedge funds investing in them, we ranked them by the revenue of their last financial year. Following are the Best Nuclear Energy Stocks to Buy According to Hedge Funds.
At Insider Monkey we are obsessed with the stocks that hedge funds pile into. The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 373.4% since May 2014, beating its benchmark by 218 percentage points (see more details here).
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.”
Overall, CCJ ranks 6th on our list of the best nuclear power stocks to buy now. While we acknowledge the potential for CCJ, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than CCJ but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
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Disclosure: None. This article is originally published at Insider Monkey.
