Global uranium (UXH25) supply is on shaky ground as the world races to expand nuclear energy. With the U.S., Europe, China, and Russia ramping up production, all racing to build more reactors due to the surging energy needs from growing populations and artificial intelligence (AI) data centers, uranium shortages could throttle growth.

Cameco (CCJ) VP of Investor Relations Cory Kos sounded the alarm, warning that the industry is on a “depletion curve” many have yet to grasp. As the world’s largest publicly traded uranium supplier, CCJ’s insight is hard to ignore. This supply squeeze could force the U.S. and Europe to rethink their uranium strategy, seeking domestic sources or alliances to counter China and Russia. Yet, under President Donald Trump’s tariff-heavy policies, such deals may prove elusive, adding pressure to nuclear stocks.

Despite this, Cameco could be in the driver’s seat. It has thrived in 2025, riding the uranium rally and securing long-term contracts, and CCJ stock is well-positioned for double-digit upside amid the growing nuclear energy crunch. To that end, let’s take a closer look at the stock.

About Cameco Stock

Cameco (CCJ) ranks among the world’s largest uranium suppliers, playing a key role in nuclear power generation. Beyond mining, it is a major provider of conversion services and one of only two CANDU fuel manufacturers in Canada. With a market capitalization of $19.5 billion, Cameco’s strength lies in its control over the world’s largest high-grade uranium reserves and its ability to operate at some of the lowest costs in the industry.

Over the past 52 weeks, the stock has risen 4.4%, trailing behind the broader market. 

CCJ trades at 35.91 times forward earnings and 8.29 times sales, well above sectoro averages. While pricey, the uranium giant justifies it with solid growth and rising dividends.

For income-seeking investors, CCJ offers both stability and upside, with management projecting at least a $0.04-per-share annual increase in its dividend in both 2025 and 2026. Shares currently yield 0.26%. 

Cameco Surpasses Q4 Earnings

On Feb. 20, Cameco released its fourth-quarter 2024 earnings report, and the results spoke volumes. The company’s revenue soared $1.2 billion, a 40.2% jump from $844 million a year earlier, driven by higher uranium sales and rising prices. Adjusted EPS amounted to $0.36, growing 44% year-over-year.

Management sees momentum building. Even with a recent dip in uranium prices, the company remains insulated from short-term market swings. That is because the uranium industry does not rely on spot prices alone. Long-term contracts with utilities drive the business.

Production is carefully aligned with contract commitments. After delivering 33.6 million pounds of uranium in 2024, the company plans to produce 36 million pounds in 2025, split evenly between its two mines at 18 million pounds each.

Looking ahead to Q1, profit is anticipated to grow 60% year-over-year to $0.16 per share. Analysts are forecasting full-year EPS of $1.21, marking a 147% year-over-year increase.

What Do Analysts Expect for Cameco Stock?

Bank of America analyst Lawson Winder reaffirmed a “Buy” rating on Cameco, setting a price target of 97 CAD. Cameco’s Q4 earnings results slightly missed BofA’s earnings expectations but exceeded overall market forecasts, signaling a solid performance. 

Wall Street’s outlook on CCJ stock is optimistic, with a consensus “Strong Buy” rating. Among 12 analysts covering the stock, 10 advocate a “Strong Buy,” while two recommend a “Moderate Buy.”

CCJ’s average analyst price target of $61.77 represents a potential upside of 42%, while the Street-high target of $69.50 suggests that the stock can climb as much as 59.4% from here.