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Should You Buy, Hold or Sell UUUU Stock Post Q3 Earnings?

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Key Takeaways

  • Energy Fuels' Q3 revenues soared 338% to $17.7M, driven by higher uranium sales volumes.
  • Despite higher costs, UUUU's net loss of $0.07 per share matched last year and beat estimates.
  • Company targets lower uranium cost and first annual profit in 2026 amid REE expansion plans.

Energy Fuels (UUUU - Free Report) reported third-quarter 2025 results on Tuesday, surpassing expectations. While revenues surged sharply, the company posted a net loss of $0.07 per share, matching the year-ago quarter and beating the Zacks Consensus Estimate.

Digging Deeper Into Energy Fuels’ Q3 Results

Total revenues came in at $17.7 million, soaring 337.6% year over year, driven by higher uranium sales, which offset the decline in prices. 

During the quarter, UUUU sold 240,000 pounds of uranium (including a spot sale of 100,000 pounds) at an average $72.38 per pound, generating uranium revenues of $17.37 million. In the third quarter of 2024, the company had sold 50,000 pounds of uranium on the spot market at a realized sales price of $80.00 per pound, generating $4 million of uranium revenues.

Costs applicable to revenues surged 592% to $12.78 million due to higher uranium sold at elevated per-pound costs. Exploration, development and processing expenses soared 244% year over year to $12.4 million owing to higher indirect processing costs at the White Mesa Mill related to a higher headcount, development activities at the La Sal Complex, delineation drilling at Nichols Ranch and the Juniper zone at the Pinyon Plain mine as well as increased exploration activities at other locations.

Standby costs increased 53% year over year to $2.5 million due to advancing permitting and development on its Roca Honda Project and higher general maintenance costs. Selling, general and administration were up 109% year over year to $12.6 million, due to higher salaries and benefits on an increase in headcount, including employees retained from Base Resources following the acquisition on Oct. 2, 2024.

Despite the revenue surge, elevated expenses resulted in a loss of seven cents per share, unchanged from last year’s third quarter.

Energy Fuels ended the quarter with $298.5 million of working capital, including $94 million of cash and cash equivalents, $141.3 million of marketable securities, $12.1 million of trade and other receivables, $74.4 million of inventory, and no debt.

Looking Beyond the Loss: Key Developments in UUUU’s Q3

During the quarter, Energy Fuels mined ore containing approximately 465,000 pounds of uranium from its Pinyon Plain, La Sal and Pandora mines. Notably, the Pinyon Plain Mine continued to deliver strong results with an average grade of 1.27%, potentially positioning it as the highest-grade uranium mine in U.S. history.
The company has been making strides in Rare Earth Elements (REE) as well.  In August, Energy Fuels produced its first kilogram of dysprosium (Dy) oxide at 99.9% purity, surpassing commercial benchmarks. The company has produced 29 kilograms of Dy oxide in its pilot circuit. Pilot production of Tb oxide is targeted for December 2025.

UUUU intends to construct and commission commercial-scale Dy, Tb and potentially samarium ("Sm") separation capacity at the White Mesa Mill, which could be operational by the fourth quarter of 2026.

In September, UUUU achieved a major milestone with its high-purity neodymium-praseodymium (NdPr) oxide being converted into commercial-scale rare earth permanent magnets (REPMs) by South Korea’s POSCO International Corp.

Energy Fuels also received final government approvals for the development of the Donald Project rare earth and critical mineral joint venture in Australia, along with receipt of a conditional Letter of Support from Export Finance Australia. This commits to up to A$80 million ($52 million) in senior debt project financing for developing the project.

How Did UUUU’s Peers Fare in Q3?

Cameco Corporation’s (CCJ - Free Report) third-quarter 2025 total revenues were down 14.7% year over year to CAD 615 million ($446 million). Adjusted earnings rose 17% year over year to CAD 0.07 per share (five cents), falling short of the Zacks Consensus Estimate. 

Cameco’s uranium revenues decreased 12.8% to CAD 523 million ($378 million) due to a 16% decline in sales volumes, somewhat offset by a 4% increase in average realized price. 

Ur-Energy Inc. (URG - Free Report) reported a loss of seven cents per share in the third quarter, missing the Zacks Consensus Estimate of a loss of three cents. The loss also came in wider than the year-ago quarter’s loss of two cents per share.

Ur-Energy sold 110,000 pounds of uranium during the quarter (sourced from previously purchased inventories) at an average price of $57.48 per pound. Ur Energy posted revenues of $6.32 million for the quarter, missing the Zacks Consensus Estimate of $7 million. This compares with year-ago revenues of $6.4 million.

Energy Fuels Issues Optimistic Outlook for 2025 & 2026

UUUU expects to mine 55,000-80,000 tons of ore containing approximately 875,000-1,435,000 pounds of uranium during 2025. It aims to process up to 1 million pounds of uranium this year.

It plans to sell 160,000 pounds of uranium in the fourth quarter of 2025, under its existing long-term contracts with utilities. Total uranium sales are targeted at 350,000 pounds in 2025 and 620,000-880,000 pounds in 2026, under its current portfolio of long-term uranium sales contracts. These ranges, however, exclude any potential spot sales the company may make if prices go up. 

The company expects lower uranium costs starting in the fourth quarter of 2025 as it begins processing low-cost Pinyon Plain ores. Total weighted average cost of goods sold will go down to $23–$30 per pound of uranium, ranking among the lowest costs for mined uranium production in the world. 

The company expects to lower the cost of goods sold to approximately $50-$55 per uranium sales for the remaining 2025 sales. The weighted average cost of goods sold is projected to drop to $30-$40 per pound in the first quarter of 2026. These trends are expected to boost gross margins.

UUUU Likely Headed for a Loss in 2025, Profit Expected in 2026

The Zacks Consensus Estimate for Energy Fuels’ earnings for 2025 is currently pegged at a loss of 33 cents per share. The estimate for revenues for the year is $40.80 million, indicating a 48% year-over-year decline.

The estimate for 2026 revenues is pinned at $133.55 million, implying a 227% year-over-year upsurge. The consensus estimate for earnings is pegged at seven cents per share. This will be UUUU’s first year of profit since it started trading on the NYSE in December 2013.

Zacks Investment Research
Image Source: Zacks Investment Research

Zacks Investment Research
Image Source: Zacks Investment Research

Over the past 60 days, the estimates for Energy Fuels for 2025 have remained unchanged, while those for 2026 have moved up.

Zacks Investment Research
Image Source: Zacks Investment Research

Energy Fuels’ Stock Outperforms Industry & Peers

UUUU shares soared 215.9% year to date compared with the industry’s 21.2% growth. It has also outperformed the broader Zacks Basic Materials sector’s gain of 15.9% and the S&P 500’s climb of 16.6%. Energy Fuels has also outpaced Cameco and Ur Energy, which have gained 85.3% and 19.1%, respectively, year to date.

Zacks Investment Research
Image Source: Zacks Investment Research

UUUU’s Valuation Looks Stretched

Energy Fuels is currently trading at a forward price-to-sales multiple of 31.27, well above the industry average of 3.47. UUUU’s Value Score of F suggests that the stock is not so cheap and indicates a stretched valuation at this moment.

Meanwhile, Cameco and Ur Energy are cheaper options, trading at price-to-sales ratios of 16.75 and 5.73, respectively.

Zacks Investment Research
Image Source: Zacks Investment Research

Volatility in Uranium Prices a Concern for Energy Fuels

Uranium prices started this year at an average of around $69 per pound in January, which was well below the $100 levels last year. Prices had dipped to $63 in March but regained steam since then. In August, Cameco lowered its 2025 guidance and Kazatomprom reduced its output guidance by 10% for next year, triggering supply concerns and boosting prices to around $75 per pound. Prices had gained in September, hitting $83 levels. Prices have, however, slipped to $80 levels as concerns over supply have eased, with Kazatomprom reporting 33% growth rate in exports in the third quarter and a 10% increase in total output. This eased concerns of the earlier, tighter supply following its previous guidance. 

In the event of low uranium prices, Energy Fuels abstains from making any uranium sales, which leads to revenue volatility.

UUUU Positioned for Long-Term Growth

Despite lower prices currently, the long-term outlook for uranium remains strong, driven by the growing push for clean energy. Also, the push for supply chains independent of China is a growth opportunity for UUUU. The White Mesa Mill in Utah, being the only U.S. facility able to process monazite and produce separated REE materials, gives the company an edge. Backed by its debt-free balance sheet, Energy Fuels is ramping up uranium production while developing significant REE capabilities.

Our Final Take on Energy Fuels Stock

Backed by Energy Fuels’ debt-free balance sheet, it is advancing with its growth plans to capitalize on the expected surge in uranium and REE demand. Those who already own the stock may stay invested, given UUUU’s solid long-term prospects in both these markets. However, given its premium valuation and the expected loss this year, new investors can wait for a better entry point.

The stock currently carries a Zacks Rank #3 (Hold).

You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.


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