Key Takeaways
- Centrus Energy shares jumped 11% after Texas Capital initiated coverage with a Buy rating and a $151 price target.
- Texas Capital’s $151 target is well below the Street’s average, so this Buy asks for much less than most analysts already expect.
- Analysts expect Centrus’s revenue to stay under $500 million through 2028, so the enrichment buildout won’t pay off for years.
- Third-quarter results, with a call on Nov. 5, are the next check on what the buildout costs and how fast it’s going.
Centrus Energy (LEU) shares soared 11% today after Texas Capital initiated coverage with a Buy rating and a $151 price target. The firm called the company’s domestic nuclear enrichment buildout “essential.”
That’s a welcome change of tone for a stock that has lost more than two-thirds of its value over the past year. It also comes a day after two big firms took the cautious side.
The Street can’t agree
Here’s where the three calls from the past two days stand:
- Texas Capital (Tuesday): initiated at Buy with a $151 target, citing “essential” domestic enrichment capacity.
- TD Cowen (Monday): initiated at Hold with a $120 target. It calls Centrus a “unique” public company building out US enrichment, but flags high capital costs, state-owned competitors and the big capacity expansions already announced.
- JPMorgan (Monday): analyst Bill Peterson cut his target to $120 from $180 and kept a Neutral rating.
So everyone agrees the enrichment buildout matters. They disagree on how much of it investors should pay for today.
Wall Street’s bar has come down a lot
Analysts have been cutting all year. The consensus target peaked at $294 in January and stood at $213 as of Monday’s close.
That makes Texas Capital’s $151 a modest Buy. It sits well below the average, in a range of targets running from $115 to $337.
TIKR tracks 19 analysts on Centrus Energy. How many say “Buy”?
See the full breakdown of Buy, Hold, and Sell ratings on Centrus Energy, along with Wall Street’s revenue and earnings estimates, all in one place. More than 500,000 investors use TIKR to research stocks like this one. See Centrus Energy’s Analyst Ratings
The payoff is years out
The buildout barely shows up in the estimates yet. Revenue rose from $320 million in 2023 to $449 million in 2025, and analysts expect it to stay under $500 million through 2028.
That’s why TD Cowen’s worry carries weight. High capital costs come now, and the enrichment revenue meant to pay for them isn’t in the numbers analysts expect through 2028.
But the price has fallen to match. As of Monday’s close, Centrus traded at 28x forward earnings, below its five-year average of 35x and far from the 137x it hit in October 2025.
Today’s jump takes it closer to 31x, which is still below that average.
My take: After this sell-off, the stock no longer prices in a flawless buildout, and Texas Capital’s target asks for much less than the average analyst. I think it’s the better call of the three. Capital costs and state-owned rivals are real risks, and Centrus will need patient shareholders.
The next check comes with third-quarter results. Centrus holds its call on Thursday, Nov. 5, at 8:30 a.m. ET, and any update on the buildout’s cost and timing could change the picture.
So what is Centrus Energy stock actually worth?
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Disclaimer:
Please note that the articles on TIKR are not intended to serve as investment or financial advice from TIKR or our content team, nor are they recommendations to buy or sell any stocks. We create our content based on TIKR Terminal’s investment data and analysts’ estimates. Our analysis might not include recent company news or important updates. TIKR has no position in any of the stocks mentioned. Thank you for reading, and happy investing!
