Investing.com -- Nuclear and uranium stocks have declined an average of 43% since the Russell 2000's peak on August 14, compared to the broader index's 8% decline, according to a recent note from B Riley Securities analyst Ryan Pfingst. The selloff reflects broad de-risking of high-beta names and pressure from elevated rates on long-duration growth stories, despite continued positive industry developments. B Riley is lowering price targets across the sector to reflect the valuation reset but highlights several names as attractive and oversold, with investment cases not dependent on the AI buildout.
1. Centrus Energy (NYSE:LEU) - B Riley maintained a Buy rating with a price target lowered from $295 to $188. Centrus is building out both LEU and HALEU capacity to serve conventional and advanced nuclear markets. The company has a $3 billion contingent LEU and HALEU backlog as of second quarter that it will serve once its 3.5 million SWU per year facility begins coming online in 2029. With the U.S. intending to cut Russian supplies in 2028 and new capacity additions, Centrus enters a tight enrichment market with proven domestic technology. On October 19, Centrus announced it acquired Westerman Holdings for approximately $116 million. The acquisition secures supply, lowers project costs, and de-risks the timeline of Centrus' multi-billion-dollar enrichment build-out, the analyst said. In September, Centrus raised approximately $500 million of gross proceeds through an underwritten offering.
2. Energy Fuels Inc (TSX:EFR) - B Riley maintained a Buy rating with a price target lowered from $25 to $19. The firm believes the market is undervaluing UUUU's uranium business, which remains the company's strongest near-term cash flow driver. Pinyon Plain produces at approximately $23 per pound, helping to lower the weighted-average cost of finished inventory to approximately $34 per pound as of second quarter 2026. At an average realized price of approximately $70 per pound, that supports a roughly 50% gross margin. On the rare earth side, UUUU secured a conditional commitment of up to A$180 million in Australian government project debt for Phase 1 of the Donald project.
3. Ur Energy Inc (NYSE:URG) - B Riley maintained a Buy rating with a price target lowered from $2.50 to $2.00. The firm sees the most favorable risk/reward in Ur-Energy, as the story is execution. Rising utilization of the 2.2 million pounds of operating capacity, with additional optimization efforts, should lower unit costs and drive EBITDA inflection in 2027, while legacy contract roll-off lifts realized prices. Shirley Basin has started shipping uranium-loaded resins for processing at Lost Creek.
4. enCore Energy Corp (TSXV:EU) - B Riley maintained a Buy rating with a price target lowered from $3.00 to $2.50. enCore has underperformed its peers on slower-than-expected permitting, and the firm believes any positive update on its growth trajectory could drive a faster catch-up rally. Upper Spring Creek PAA-1 now expects final authorization on or before November 13.
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