Cameco ($CCJ), a leading uranium supplier, saw its shares climb 5% on July 26, 2025, driven by a surge in uranium prices to $85 per pound, fueled by rising global demand for nuclear fuel to power AI and tech infrastructure.
This rally strengthens Cameco’s position in the Nuclear Stocks category, benefiting from the nuclear energy boom as tech giants like Amazon ($AMZN) and Microsoft ($MSFT) invest in nuclear-powered data centers.
Uranium’s price surge, up 10% year-to-date, reflects supply constraints and increased demand from countries like China and India, which are expanding nuclear capacity.
Cameco, producing 20% of global uranium, is well-positioned to capitalize on this trend, with its McClean Lake and Cigar Lake mines operating at full capacity. The company’s Q2 revenue rose 24% to $1.2 billion, beating estimates, though tariff risks on uranium imports could impact margins.
Analysts project a 15% EPS growth for Q3, driven by long-term contracts with utilities. For your website, Cameco’s rally ties Nuclear Stocks to AI Stocks, as uranium fuels reactors powering data centers for companies like Apple ($AAPL), which relies on AI for Apple Intelligence.
However, investors face risks from geopolitical tensions, as 30% of Cameco’s supply comes from Kazakhstan, where export restrictions could disrupt markets. Despite this, 14 of 17 analysts rate $CCJ a “buy,” citing its dominant market position and stable cash flows.
The stock’s 5% gain aligns with broader market optimism, with 86% of S&P 500 companies beating Q2 earnings. Cameco’s focus on long-term contracts mitigates volatility, making it a defensive pick in Nuclear Stocks compared to speculative plays like Oklo ($OKLO).
Investors can leverage Cameco’s stability for portfolio diversification, especially as nuclear energy gains traction in clean energy transitions. While Apple’s semiconductor and AI focus doesn’t directly involve uranium, its data center expansion indirectly supports nuclear stocks.
Investors should monitor Cameco’s Q3 earnings for guidance on uranium prices and contract renewals, which could drive further gains. The company’s $500 million cash reserve supports expansion plans, including new mining projects in Saskatchewan.
