ZACKS·2025-11-21 19:07Core Insights - Energy Fuels Inc. and Cameco Corporation are significant players in the uranium industry, positioned to support the global nuclear energy supply chain [2] - Uranium prices have recently decreased to $77 per pound from a 14-month high of $84, reflecting a 3% decline over the past year, but the long-term outlook remains strong due to the clean energy push [3] - Energy Fuels has seen a substantial increase in revenues, while Cameco has faced revenue declines, highlighting differing performance trajectories [12][15] Energy Fuels Overview - Energy Fuels is the leading U.S. producer of natural uranium concentrate, accounting for two-thirds of domestic production since 2017 [5] - The company mined approximately 465,000 pounds of uranium in the third quarter, totaling about 1,245,000 pounds for the year [6] - For 2025, Energy Fuels expects to mine between 875,000 and 1,435,000 pounds of uranium, with potential finished production reaching up to 1,000,000 pounds [7] - In Q3, Energy Fuels sold 240,000 pounds of uranium at an average price of $72.38, generating $17.4 million in revenues, a 337.6% year-over-year increase [8] - The company ended Q3 with $298.5 million in working capital, including $94 million in cash and no debt [9] - Energy Fuels is also advancing heavy rare earth element (HREE) separation, with commercial output expected in 2026 [11] Cameco Overview - Cameco accounted for 16% of global uranium output in 2024 and operates across the entire nuclear fuel cycle [14] - The company reported a 2% increase in uranium production to 4.4 million pounds in Q3 2025, but total revenues fell 14.7% year-over-year to CAD 615 million ($446 million) [15][16] - Cameco revised its full-year target for uranium deliveries to 32–34 million pounds, with expectations to exceed production targets at Cigar Lake [18] - At the end of Q3, Cameco had C$779 million ($565 million) in cash and C$1 billion ($725 million) in long-term debt [19] Financial Performance Comparison - Energy Fuels stock has appreciated 157.5% this year, outperforming Cameco's 59.6% gain [26] - Energy Fuels trades at a forward price-to-sales multiple of 36.86X, while Cameco's multiple is 14.29X [26] - The Zacks Consensus Estimate for Energy Fuels indicates a revenue drop of 39.8% in 2025, while Cameco's estimates imply a 6.2% growth [21][22] Conclusion - Both companies face short-term revenue challenges due to volatile uranium prices, but Energy Fuels is better positioned for growth with a debt-free balance sheet and strong liquidity [27] - Energy Fuels' diversified asset base and advancing REE projects enhance its long-term potential compared to Cameco [27][28]