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Why Centrus Energy Stock Is Powering Down Today

The Motley Fool Logo The Motley Fool By Scott Levine
Why Centrus Energy Stock Is Powering Down Today

Centrus Energy stock declined 11.44% today despite receiving a $900 million Department of Energy award for uranium enrichment expansion. Roth Capital analyst Joseph Reagor maintained a neutral rating and raised his price target to $125 from $117, implying over 61% downside from the previous close of $322.97. However, the analyst acknowledges the company's improved positioning for HALEU production and current profitability make it an attractive, less speculative way to gain nuclear energy exposure.

Insights
LEU   neutral

While the stock declined significantly today and the analyst maintains a neutral rating with a price target implying substantial downside, the company received a substantial $900 million DOE award and is positioned well for HALEU production with current profitability. The neutral sentiment reflects both the near-term negative price action and analyst skepticism, balanced against the company's strong fundamentals and growth prospects in the nuclear energy sector.