UUUU Hits 52-Week Low Post Q4 Earnings: Buy, Sell or Hold the Stock?

Zacks

Shares of Energy Fuels UUUU hit a new 52-week low of $3.78 during yesterday’s trading before finishing a tad higher at $3.80. The company reported fourth-quarter 2024 results on Feb. 27, and its shares have lost 14% since then. Despite delivering higher revenues, Energy Fuels incurred a loss of 19 cents in the quarter. It was wider than the last-year quarter, which also missed the Zacks Consensus Estimate.

Find the latest EPS estimates and surprises on Zacks Earnings Calendar.

UUUU shares have been in the red for a while. The stock has declined 37.4% in the past year against the industry’s 6.1% rise. It has also lagged the broader Zacks Basic Materials sector’s dip of 0.6% and the S&P 500’s climb of 21.5%.

UUUU Stock's 1-Year Performance

Technical indicators show that Energy Fuels has been trading below the 50-day and 200-day simple moving averages (SMAs) since Jan. 24, 2025. Following a death crossover on Feb. 3, 2025, the 50-day SMA continues to read lower than the 200-day SMA, indicating a bearish trend.

UUUU Shares Trade Below 50 & 200-Day SMAs

Is this dip in the UUUU stock a buying opportunity? To assess the same, it is important to look at the factors influencing the decline, review the fourth-quarter results and evaluate the stock’s investment potential.

Decoding Energy Fuels’ Q4 & 2024 Results

Energy Fuels reported revenues of around $40 million in the fourth quarter of 2024, way higher than the year-ago quarter’s $0.5 million. Full-year revenues were $78 million, marking a 106% surge from 2023.

The improvement in revenues was attributed to the contribution of revenues from Heavy Mineral Sands (HMS) following the acquisition of Base Resources. The company also reported a 9% increase in uranium revenues, aided by 42% higher realized sales prices that offset the impacts of a 20% decline in sales volumes.

Energy Fuels sold 450,000 pounds of uranium in 2024 for $84.23 per pound compared with 560,000 pounds sold for $59.42 in 2023. Click here for more details on UUUU’s fourth-quarter and 2024 results.

The company reported a fourth-quarter loss per share of 19 cents compared with a loss of 13 cents in the year-ago quarter. For 2024, the loss was 28 cents compared with an adjusted loss of 19 cents in 2023.

The loss was due to transaction and integration costs related to the acquisition of Base Resources and the Donald Project joint venture, as well as recurring operating expenses. Expenses associated with the increased headcount of retained Base Resources employees and Kwale HMS mine reclamation costs also led to the loss. This was partially offset by sales of natural uranium concentrates and mineral sand products.

Key Developments for UUUU in 2024

The acquisition of Base Resources Limited in October 2024 gave Energy Fuels access to the promising Toliara Mineral Sand Project. In addition to rare earth element (REE) metals, this move will strengthen UUUU’s potential to become a major producer of titanium and zirconium minerals.

The Toliara project ensures a long-term supply of monazite that can be processed to produce advanced REE materials at its White Mesa Mill, a cost-effective and capital-efficient strategy. In December 2024, the Madagascar government lifted the suspension on the Toliara project, and Energy Fuels can now develop this project.

With the RadTran LLC buy, UUUU made its foray into the promising medical isotope market.

Energy Fuels’ Outlook For 2025-2029

The company is currently producing from 3 uranium mines. The expected ore production for 2025 is at 730,000-1,170,000 pounds of contained uranium. The company expects uranium contract sales of 200,000-300,000 pounds in 2025.

Energy Fuels added a fourth long-term uranium sales contract to its portfolio in 2024. Per the contract, UUUU expects to deliver 270,000-330,000 pounds of uranium between 2026 and 2027, and an additional 180,000-220,000 pounds through 2029. This will be under a "hybrid" pricing formula, subject to floor and ceiling prices, which maintains exposure to uranium market upside and protection from inflation.

UUUU Witnesses Downward Estimate Revisions Post Q4 Earnings

The estimates for Energy Fuels have undergone negative revisions following the results, as shown in the chart below.

Energy Fuels is expected to report a loss of 14 cents in 2025, in contrast to the earlier mentioned earnings of 7 cents per share. The estimate for 2025 revenues is pegged at $72.27 million, suggesting a 7.5% year-over-year decline.

The estimate for 2026 revenues is pinned at $180.20 million, implying a 149% year-over-year upsurge. The consensus estimate for earnings is pegged at 13 cents. This will be UUUU’s first year of profit since it started trading on the NYSE in December 2013.

UUUU Boasts Debt-Free Balance Sheet

As of Dec. 31, 2024, Energy Fuels had $170.90 million of working capital, including $38.60 million of cash and cash equivalents, $80.85 million of marketable securities, and $37.76 million in trade and other receivables.

Uranium Price Decline is Concerning for UUUU

Uranium prices have declined 10.34% since the beginning of 2025 and 30% in a year. Currently, prices are around $65.45 per pound. The decline comes amid a landscape of adequate supply and uncertain demand.

Recent reports indicate that Microsoft MSFT has canceled several data center leases in the United States, contradicting the prevailing view that tech giants are aggressively securing new power capacity. This development has raised concerns about future uranium demand.

UUUU’s Valuation Looks Stretched

Energy Fuels is currently trading at a forward price-to-sales multiple of 4.65, above the industry average of 2.64. UUUU’s Value Score of F suggests that the stock is not so cheap and indicates a stretched valuation at this moment.

The company is, however, cheaper than peers Cameco CCJ and Uranium Energy UEC, which are trading at price-to-sales ratios of 6.92 and 16.36, respectively.

Our Final Take on UUUU Stock

Backed by Energy Fuels’ debt-free balance sheet, the company is advancing with its growth plans to capitalize on the expected surge in uranium and REE demand. However, considering the premium valuation, decline in uranium prices, downward earnings revisions and expected loss for the current year, selling this stock would be a prudent move at present. The stock currently carries a Zacks Rank #4 (Sell).

You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

This article originally published on Zacks Investment Research (zacks.com).

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Uranium Energy to Report Q2 Earnings: Here's What's in Store

Zacks

Uranium Energy UEC is expected to report a year-over-year decline in earnings despite higher revenues in its upcoming second-quarter fiscal 2025 results.

Find the latest EPS estimates and surprises on Zacks Earnings Calendar.

The Zacks Consensus Estimate for UEC’s revenues is pegged at $41.4 million, indicating a significant improvement from the year-ago quarter's actual of $0.12 million. The consensus estimate for earnings indicates break-even earnings. The estimate has remained unchanged over the past 30 days. Uranium Energy reported earnings of one cent per share in the second quarter of fiscal 2024.

Uranium Energy’s Earnings Surprise History

UEC’s earnings missed the consensus estimate in three of the trailing four quarters while matching in one quarter. The company delivered an average surprise of negative 266.7% over the trailing four quarters.

Uranium Energy Corp. Price and EPS Surprise

Uranium Energy Corp. price-eps-surprise | Uranium Energy Corp. Quote

What the Zacks Model Unveils for UEC

Our proven model does not conclusively predict an earnings beat for Uranium Energy this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the chances of an earnings beat, which is not the case here.

You can uncover the best stocks before they’re reported with our Earnings ESP Filter.

Earnings ESP: The Earnings ESP for Uranium Energy is 0.00%.

Zacks Rank: UEC currently carries a Zacks Rank of 3. You can see the complete list of today’s Zacks #1 Rank stocks here.

Factors Likely to Have Shaped UEC’s Q4 Performance

Uranium Energy is primarily engaged in uranium mining and related activities, including exploration, pre-extraction, extraction and processing of uranium projects located in the United States, Canada and the Republic of Paraguay. The company has established the existence of mineralized materials for certain uranium projects, including the Palangana Mine, Christensen Ranch Mine (collectively the ISR Mines), Roughrider and Christie Lake Project.

UEC has, however, not yet established proven or probable reserves. Despite commencing uranium extraction at its ISR Mines, it remains in the “Exploration Stage” (as defined by the United States Securities and Exchange Commission) and will continue to remain so until proven or probable reserves have been established.

The Palangana Mine had been Uranium Energy’s sole source of revenues from the sales of produced uranium from fiscal 2012 to fiscal 2015. The company has not generated revenues from the sales of produced uranium since fiscal 2016 as it continues per its strategic plan to operate Palangana Mine and Christensen Ranch Mines at a reduced pace. It intends to defer major pre-extraction expenditures and maintain a state of operational readiness in anticipation of a recovery in uranium prices.

At the end of first-quarter fiscal 2025 (Oct. 31, 2024), the company held 1,256,000 pounds of purchased uranium concentrate inventory. Also, as of that date, Uranium Energy committed to sell 600,000 pounds of uranium inventory for a total of $49.75 million for delivery between November 2024 and January 2025.

Per the last available details provided by the company, during the second quarter of fiscal 2025, it entered into contracts to purchase 300,000 pounds of uranium inventory for $23.43 million (at a weighted average price of $78.08 per pound), with delivery in December 2024. It sold 500,000 pounds of uranium inventory at a weighted average price of $82.80 per pound for a total of $41.40 million. This is expected to reflect on Uranium Energy’s top-line results.

In the second quarter of fiscal 2024, the company recorded sales and service revenues of $0.12 million from toll processing services. UEC did not sell purchased uranium inventory in the year-ago quarter.

While the company maintains state operational readiness, uranium extraction expenditures continue to be incurred at ISR Mines, which are directly related to regulatory/mine permit compliance, lease maintenance obligations and maintenance of a necessary labor force. The company is expected to have incurred mineral property expenditures primarily consisting of costs relating to permitting, property maintenance, exploration and pre-extraction activities and other non-extraction-related activities on its mineral projects.

Uranium Energy Stock’s Price Performance

Uranium Energy’s shares have gained 7.2% in the past six months against the industry’s 1% dip.

Recent Earnings Performances of UEC’s Peers

Energy Fuels UUUU reported a fourth-quarter fiscal 2024 loss per share of 19 cents, which missed the Zacks Consensus Estimate of breakeven earnings per share. UUUU had reported a loss of 13 cents per share in the year-ago quarter.

Energy Fuels reported revenues of around $40 million in the fourth quarter of 2024, which missed the Zacks Consensus Estimate of $45 million. The top-line figure was way higher than the year-ago quarter’s revenues of $0.5 million.

Cameco's CCJ revenues improved 36.5% year over year to $846 million (CAD 1,183 million), which surpassed the Zacks Consensus Estimate of $753 million. CCJ reported earnings per share of 26 cents (CAD 0.36) in the quarter, which beat the consensus estimate of 23 cents.

A Stock Likely to Deliver Earnings Beat

Here is a stock with the right combination of elements to post an earnings beat in its upcoming release.

Franco-Nevada Corporation FNV presently has an Earnings ESP of +1.23% and a Zacks Rank of 3. Franco-Nevada is anticipated to deliver a decline in earnings when it reports fourth-quarter results on March 10.

The Zacks Consensus Estimate for FNV’s quarterly earnings has moved down 3.3% in the past 60 days to 89 cents per share. The estimate indicates a 1% decline from the year-ago quarter.

This article originally published on Zacks Investment Research (zacks.com).

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Cameco Maintained at Outperform with a $90.00 Price Target at RBC Capital Markets

MT Newswires

Cameco

-0.71%

RBC Capital Markets said in a Monday note maintained its outperform rating on the shares of Cameco and its $90.00 price target,

RBC said it remains positive on uranium and Cameco despite recent weakness in uranium equities driven by news about tariffs, AI/Deepseek, and the Russia-Ukraine conflict, which have limited impact to its positive uranium outlook.

Despite these, Cameco is well-positioned to benefit from the nuclear revival that remains on track, with the company owning top-tier assets across the nuclear fuel cycle.

"Given recent weakness in shares, we think now is a good opportunity for investors that were previously wary on more expensive valuation to step-in," RBC said.

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Apple Isn't Priced for Tariff Showdown: Heard on the Street — WSJ

Wall Street Journal

By Dan Gallagher

When it comes to the new trade war, Apple investors are banking on warning shots.

The biggest tech company by market value is also the most directly exposed to cross-border tariffs-particularly with China. Hardware products account for three-quarters of Apple's annual revenue, and most of those products are manufactured in China. BofA Securities analyst Wamsi Mohan estimated last month that 10% tariffs on Chinese imports could knock 2%-3% off Apple's projected per-share earnings in 2026.

Apple shares have largely shrugged off the worries. Apple was one of the few major tech stocks to rise early Tuesday, and it is the only megacap tech to have notched gains over the last month. It is also the only one still sporting a market cap above $3 trillion. That has kept Apple's valuation multiple around 32 times projected earnings for this year-18% above its five-year average, according to FactSet data.

Why are Apple's shareholders so sanguine? The company itself has given no details about the expected impacts of tariffs. Chief Executive Tim Cook punted on the topic during Apple's earnings call in January.

Investors may hope the matter resolves itself sooner than later. Best Buy said Tuesday its fiscal-year forecast doesn't account for tariffs, with Chief Executive Corie Barry citing "uncertainty about the duration, timing, amount and countries involved," among other factors. Nonetheless, the consumer-electronics retailer expects a one-percentage point hit to its same-store sales if 10% tariffs on Chinese goods last a full year.

Barry also admitted to being in uncharted waters; "We've never seen this kind of breadth of tariffs," Barry said. Apple may be sailing into rougher seas than it has acknowledged.

This item is part of a Wall Street Journal live coverage event. The full stream can be found by searching P/WSJL (WSJ Live Coverage).

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US Tariffs to Be 'Major Pain' for Consumers, Economy if in Place for Long, Wedbush Says

MT Newswires

The US decision to implement 25% tariffs on Canada and Mexico and a proposed 20% tariff on China is likely be a "major pain" for consumers and the economy if the tariffs remain in place, Wedbush said in a Tuesday note.

Investors around the globe are moving into a "very nervous" phase especially regarding growth stocks as they try to analyze how the tariffs will affect the tech trade going forward, analysts led by Daniel Ives wrote.

"Our view is we are in the midst of the biggest tech transformation trade since the Industrial Revolution with AI and $2 trillion of AI Capex over the next 3 years," the analysts added.

The note said, however, that Apple , Nvidia , Microsoft , Alphabet , Amazon.com , Palantir Technologies , Salesforce , and Tesla are the likely winners of the AI revolution and that any weakness should be seen as a buying opportunity.

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