Etftrends·2026-02-06 18:14Industry Overview - The nuclear energy sector is experiencing significant capital deployment as nations shift towards carbon-free baseload power to meet rising electricity demand and enhance energy security [1] - The nuclear reactor construction market is projected to grow by $13.25 billion between 2026 and 2030, with a compound annual growth rate (CAGR) of 5.3% [2] Investment Opportunities - The Range Nuclear Renaissance Index ETF (NUKZ) serves as a primary vehicle for investors seeking exposure to the nuclear sector, focusing on infrastructure and service providers [3] - Key holdings in NUKZ, including Jacobs Engineering Group, Fluor Corporation, and Amentum Holdings, are well-positioned to benefit from the current spending cycle [3] Market Segments - The global nuclear decommissioning market is expected to reach $8.04 billion by 2026, growing at a CAGR of 6.49% through 2032, indicating diversified revenue streams for industry leaders [4] - Fluor and Jacobs have established long-term positions in high-margin decommissioning and waste management segments, while Amentum has a substantial backlog of $47 billion as of late 2025 [10] Performance Metrics - NUKZ has surged 42% over the past year as of February 4, and has continued to perform well in 2026, up 7.3% year to date compared to a 0.6% increase in the S&P 500 [5] - The investment case for nuclear energy is supported by long-cycle utility and sovereign commitments, with national energy security mandates acting as a catalyst for NUKZ [6] Geographic Insights - The U.K. market presents a significant opportunity, with government commitments to new gigawatt-scale projects like Sizewell C, estimated at $51 billion, benefiting companies like Jacobs and Amentum through recent contract awards [10]