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Cameco Surges 200% in a Year: Buy, Sell or Hold the Stock?
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Key Takeaways
Cameco posted 11% revenue growth in 2025, with adjusted earnings up 38% year over year.
CCJ expects 2026 uranium revenues to fall ~7% due to lower delivery volumes despite pricing strength.
Cameco's long-term contracts and nuclear demand trends provide strong visibility into future growth.
Cameco Corporation (CCJ - Free Report) has rallied 200.5% in the past year, significantly outperforming the industry’s 63% growth. Over the same period, the Zacks Basic Materials sector has gained 62.5% and the S&P 500 advanced 36%.
However, uranium peers Energy Fuels (UUUU - Free Report) , Uranium Energy (UEC - Free Report) and Centrus Energy (LEU - Free Report) have delivered even stronger returns over the past year, as illustrated in the chart below.
Image Source: Zacks Investment Research
Against this backdrop, it is worth examining the key drivers behind CCJ’s momentum and whether it is sustainable.
CCJ 2025 Results Show Revenue and Earnings Growth
Cameco reported a 11% year-over-year increase in revenues to CAD 3.48 billion ($2.54 billion) in 2025, supported by higher revenues in both its uranium and fuel services segments.
The company sold 33 million pounds of uranium in 2025, down slightly 2% from 2024 levels. Despite lower volumes, a 9% increase in the average realized prices lifted uranium segment revenues by 7% year over year to CAD 2.87 billion ($2.10 billion). Fuel Services segment revenues rose 22% to CAD 562 million ($410 million) on 8% higher sales volumes and 14% increase in average realized prices.
Cameco’s total revenues were up 1.5% year over year to CAD 1,201 million ($862 million). Adjusted earnings gained 38% year over year to 36 cents per share in the quarter.
Cameco 2026 Outlook Points to Lower Uranium Revenues
For 2026, Cameco expects uranium deliveries of 29–32 million pounds. Uranium revenues are projected in the range of CAD 2.54–2.73 billion, based on an average realized price of CAD 85–89 per pound. At the midpoint, this implies a roughly 7% year-over-year decline due to lower volumes. The fuel services segment is expected to fare better, with revenues projected at CAD 590-630 million, suggesting a 9% increase from 2025 levels.
Cameco’s total revenue guidance for the year is CAD 3.13-3.37 billion. The midpoint suggests a 7% decline from the CAD 3.482 billion in revenues reported in 2025.
CCJ’s Earnings Estimates Signal Growth Ahead
The consensus estimate for Cameco’s earnings for 2026 and 2027 indicates year-over-year growth of 52.4% and 13.6%, respectively.
Image Source: Zacks Investment Research
The Zacks Consensus Estimate for Cameco’s earnings for both 2026 and 2027 has moved up over the past 90 days, as shown in the chart below.
Image Source: Zacks Investment Research
Cameco’s Valuation Remains Elevated Versus Industry
CCJ stock is currently trading at a forward price-to-sales ratio of 18.17, well above the industry’s 5.52. Its Value Score of F also suggests an expensive valuation.
Image Source: Zacks Investment Research
That said, Cameco is trading lower than Energy Fuels, which is currently trading at a forward price-to-sales ratio of 24.59, and Uranium Energy, which is trading at a loftier 80.82. Centrus Energy appears more reasonably valued at 7.31.
Long-Term Contracts, Nuclear Tailwinds Support CCJ’s Growth
Cameco continues to strengthen its long-term portfolio. It has long-term obligations to deliver about 230 million pounds of uranium, translating to average annual deliveries of around 28 million pounds over the next five years.
In the Fuel Services segment, strong demand and elevated UF6 conversion prices have enabled Cameco to secure additional long-term contracts. Total contracted volumes now stand at roughly 83 million kgU of UF6, offering solid visibility into future revenues
Cameco’s uranium production capacity is among the largest globally, accounting for nearly 15% of worldwide output. Its long-term contracts ensure strong long-term demand visibility. The company is investing to expand production and capture favorable market conditions, including extending Cigar Lake’s mine life to 2036 and ramping up output at McArthur River and Key Lake toward their licensed annual capacity of 25 million pounds (100% basis).
Rising energy security concerns, geopolitical tensions and the global push for low-carbon energy continue to create structural tailwinds for nuclear power. With low-cost, high-grade assets and a diversified nuclear fuel cycle portfolio, Cameco is well-positioned to benefit from sustained growth in nuclear energy demand.
How to Play Cameco Stock?
Cameco’s strong earnings momentum, robust long-term contract portfolio and strategic positioning across the nuclear fuel cycle reinforce its compelling growth outlook. With rising global emphasis on energy security and low-carbon power, sustained demand for nuclear fuel is expected to drive higher volumes and pricing over time. The company’s capacity expansion plans, solid balance sheet and growing contribution from Westinghouse further enhance its earnings visibility. However, premium valuation suggests that new investors may want to wait for a more attractive entry point. The company currently has a Zacks Rank #3 (Hold), which supports our thesis.
View the Zacks #1 Rank List
Image: Bigstock
Cameco Surges 200% in a Year: Buy, Sell or Hold the Stock?
Key Takeaways
Cameco Corporation (CCJ - Free Report) has rallied 200.5% in the past year, significantly outperforming the industry’s 63% growth. Over the same period, the Zacks Basic Materials sector has gained 62.5% and the S&P 500 advanced 36%.
However, uranium peers Energy Fuels (UUUU - Free Report) , Uranium Energy (UEC - Free Report) and Centrus Energy (LEU - Free Report) have delivered even stronger returns over the past year, as illustrated in the chart below.
Against this backdrop, it is worth examining the key drivers behind CCJ’s momentum and whether it is sustainable.
CCJ 2025 Results Show Revenue and Earnings Growth
Cameco reported a 11% year-over-year increase in revenues to CAD 3.48 billion ($2.54 billion) in 2025, supported by higher revenues in both its uranium and fuel services segments.
The company sold 33 million pounds of uranium in 2025, down slightly 2% from 2024 levels. Despite lower volumes, a 9% increase in the average realized prices lifted uranium segment revenues by 7% year over year to CAD 2.87 billion ($2.10 billion). Fuel Services segment revenues rose 22% to CAD 562 million ($410 million) on 8% higher sales volumes and 14% increase in average realized prices.
Cameco’s total revenues were up 1.5% year over year to CAD 1,201 million ($862 million). Adjusted earnings gained 38% year over year to 36 cents per share in the quarter.
Cameco 2026 Outlook Points to Lower Uranium Revenues
For 2026, Cameco expects uranium deliveries of 29–32 million pounds. Uranium revenues are projected in the range of CAD 2.54–2.73 billion, based on an average realized price of CAD 85–89 per pound. At the midpoint, this implies a roughly 7% year-over-year decline due to lower volumes. The fuel services segment is expected to fare better, with revenues projected at CAD 590-630 million, suggesting a 9% increase from 2025 levels.
Cameco’s total revenue guidance for the year is CAD 3.13-3.37 billion. The midpoint suggests a 7% decline from the CAD 3.482 billion in revenues reported in 2025.
CCJ’s Earnings Estimates Signal Growth Ahead
The consensus estimate for Cameco’s earnings for 2026 and 2027 indicates year-over-year growth of 52.4% and 13.6%, respectively.
The Zacks Consensus Estimate for Cameco’s earnings for both 2026 and 2027 has moved up over the past 90 days, as shown in the chart below.
Image Source: Zacks Investment Research
Cameco’s Valuation Remains Elevated Versus Industry
CCJ stock is currently trading at a forward price-to-sales ratio of 18.17, well above the industry’s 5.52. Its Value Score of F also suggests an expensive valuation.
Image Source: Zacks Investment Research
That said, Cameco is trading lower than Energy Fuels, which is currently trading at a forward price-to-sales ratio of 24.59, and Uranium Energy, which is trading at a loftier 80.82. Centrus Energy appears more reasonably valued at 7.31.
Long-Term Contracts, Nuclear Tailwinds Support CCJ’s Growth
Cameco continues to strengthen its long-term portfolio. It has long-term obligations to deliver about 230 million pounds of uranium, translating to average annual deliveries of around 28 million pounds over the next five years.
In the Fuel Services segment, strong demand and elevated UF6 conversion prices have enabled Cameco to secure additional long-term contracts. Total contracted volumes now stand at roughly 83 million kgU of UF6, offering solid visibility into future revenues
Cameco’s uranium production capacity is among the largest globally, accounting for nearly 15% of worldwide output. Its long-term contracts ensure strong long-term demand visibility. The company is investing to expand production and capture favorable market conditions, including extending Cigar Lake’s mine life to 2036 and ramping up output at McArthur River and Key Lake toward their licensed annual capacity of 25 million pounds (100% basis).
Rising energy security concerns, geopolitical tensions and the global push for low-carbon energy continue to create structural tailwinds for nuclear power. With low-cost, high-grade assets and a diversified nuclear fuel cycle portfolio, Cameco is well-positioned to benefit from sustained growth in nuclear energy demand.
How to Play Cameco Stock?
Cameco’s strong earnings momentum, robust long-term contract portfolio and strategic positioning across the nuclear fuel cycle reinforce its compelling growth outlook. With rising global emphasis on energy security and low-carbon power, sustained demand for nuclear fuel is expected to drive higher volumes and pricing over time. The company’s capacity expansion plans, solid balance sheet and growing contribution from Westinghouse further enhance its earnings visibility.
However, premium valuation suggests that new investors may want to wait for a more attractive entry point. The company currently has a Zacks Rank #3 (Hold), which supports our thesis.
You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.