- The Economy Tracker
- Posts
- Going Nuclear
Table of Contents
The Reason
As a reader of Here’s the Deal, you already know that the world will need to generate significantly more power in the coming years. This is driven by the rising demand for computing power, data storage, and the growing energy needs of developing countries. At the same time, there’s a global push for cleaner, more sustainable energy sources. That’s where nuclear energy comes into play.
If the thought of nuclear energy makes you uneasy because of events like Chernobyl or Three Mile Island, don't worry. The article below will help bring you up to speed on the incredible progress made in the field. Despite the negative reputation nuclear energy has had in the past, the industry has made huge strides over the last few decades. Modern nuclear power is now safer, more efficient, and produces less waste than ever before.
Nuclear energy is safe.
Nuclear energy is reliable.
Cast of Characters
With the recent breakout for nuclear energy stocks, you’re going to want to familiarize yourself with the players as this is more than likely going to be a theme for the next several years.
The ETF
URA
OEM and Mining Companies
CCJ - Cameco
$24.7B Market Cap
Uranium miner which is also an OEM (Original Equipment Manufacturer) in the industry through it’s 49% interest in Westinghouse.
Parts Business and Mining
LEU - Centrus
Uranium supplier and OEM.
$1.47B Market Cap
Uranium Miners
NXE - NexGen Energy
$4.45B Market Cap
UEC - Uranium Energy Corp.
$3.31B Market Cap
DNN - Denison Mines Corp
$2.04B Market Cap
UUUU - Energy Fuels, Inc
Mining and Recycling
$1.24B Market Cap
New Technology
LTBR - Lightbridge Corp.
$128.88M Market Cap
Patented Fuel Rod technology to make existing and future nuclear power generators more efficient and safer.
SMR’s (Small Modular Reactors)
OKLO - Oklo, Inc.
$2.72B Market Cap
Backed by Sam Waltman. (ChatGPT guy.) Modern and aesthetic SMR designs.
NNE (More Recent IPO) - Nano Nuclear Energy, Inc
$824.29M Market Cap
Portable nuclear microreactor technology.
SMR - NuScale Power
$1.8B Market Cap
SMR’s and energy exploration education.
***When investing in growth stocks, it's important to understand that secondary offerings (where a company issues more shares) are a normal part of the process. These offerings dilute the value of the shares already in the market, but they're a key way for companies to raise money and keep operating until they become profitable. So instead of being frustrated when it happens, expect it as part of the journey with growth companies.
If you are looking for the biggest upside potential, my favorites are:
OKLO
LTBR
SMR
NXE
But keep in mind that the biggest potential upside also means the most volatility and risk. The way I think of things like this are what I call “Vegas Money.” As in, if you lose it all, it was still worth the experience. Or in this case, worth the chance at massive long term gains.
However, money continues to flood into the nuclear sector which helps minimize the risk of bankruptcies. Best of all, this is still very early in the process.
When people ask me today, where’s the Netflix, Amazon, Google, Tesla, Facebook, etc. My answer is uranium growth stocks.
Force me to pick one right now, it’s OKLO and LTBR.
I might’ve been asked for one, but I’m a rebel. Blame it on the Jesse James blood running through my veins.
No guts. No glory.
If you enjoyed this post or found it useful, do me a favor and hit the like (heart) button and share it with others.
Click the Leave a comment button if you have any questions or comments, or need something clarified. Don’t be shy. The main point here is to improve constantly. Questions and comments help us both and tells me what you are interested in learning/hearing more about.
Reply