Why Centrus Energy Corp. (LEU) Stock is Gaining This Week
The energy industry has been facing significant challenges due to President Trump’s tariff war, resulting in a more than 8% decline over the past five days. This decline is in stark contrast to the wider market, which only saw a slight decrease of around 0.5%. The global price of crude oil has also taken a hit, plummeting by approximately 22% since the start of the year, with WTI prices hovering around $60 per barrel. Several factors have contributed to this decline, including the escalating US-China trade war, the likelihood of a global economic slowdown, and the decision by OPEC+ to increase supply in May.
One sector that has received special attention from the White House is coal. President Trump recently signed executive orders aimed at boosting coal production and identifying state climate laws that hinder energy resource development. The US Energy Department has made $200 billion in financing available for new coal technologies. However, these orders have raised environmental concerns, as coal is known for being one of the dirtiest fuels for energy generation. Additionally, it remains to be seen whether there is a genuine demand for increased coal output, given the closure of hundreds of coal-burning plants in the past decade.
Centrus Energy Corp. (NYSE:LEU) is a key player in the energy industry, specializing in nuclear fuel and services for the nuclear power sector. With proven enrichment technology, Centrus Energy Corp. has a strategic advantage in the current global trade landscape. The company recently received a Buy rating and $129 price target from Craig-Hallum, highlighting its potential for growth. As the world experiences a nuclear renaissance, particularly during the current AI boom, Centrus Energy’s domestic nuclear fuel solution plays a crucial role in national security. The company’s $60 million investment in its Oak Ridge facility is set to advance the country’s uranium enrichment capabilities significantly.
In terms of stock performance, LEU ranks 10th among energy stocks that saw the most gains this week. While energy companies show promise, the focus on AI stocks for higher returns within a shorter timeframe is emphasized. There is a notable AI stock that has seen an increase since the beginning of 2025, while popular AI stocks have experienced a decline of around 25%. For those interested in AI stocks with significant potential and trading at less than 5 times their earnings, exploring the report on the cheapest AI stock is recommended.
For more insights on AI stocks and investment opportunities, readers can explore the “20 Best AI Stocks To Buy Now” and “30 Best Stocks to Buy Now According to Billionaires” articles. Disclosure: None. This article was originally published on Insider Monkey.
