The U.S. will build $80 billion worth of nuclear reactors in the U.S. Which stocks benefit?

Shares of several nuclear companies rose sharply in trading on October 28 thanks to the agreement of the U.S. Department of Commerce, which involves investments in the construction of nuclear reactors worth at least $80 billion.

Thus, the securities of Cameco rose by 23.4% at once: they set a new record, and its capitalization increased by almost 9%. Thanks to Tuesday's rally, the securities are now up 108% relative to the beginning of 2025. Cameco is one of the world's largest suppliers of uranium, as well as nuclear fuel components and related services. Cameco is also one of the parties to an agreement with the U.S. Department of Commerce: the company, along with Brookfield Asset Management, owns Westinghouse, whose nuclear reactor technology will be used to develop the industry.

Among other stocks that soared in trading on Tuesday, Seeking Alpha named Uranium Royalty (up more than 19%) and uranium miner Uranium Energy (up 14.3%). In addition, the securities of uranium developer NexGen Energy rose 12%, and mining company Denison Mines - almost 10%. Stock prices of the manufacturer of small modular reactors NuScale Power jumped by about 9%, the securities of uranium operator Ur-Energy - by 7%, and the supplier of uranium fuel Energy Fuels - by almost 5%. Shares of startup Nano Nuclear Energy, uranium enricher Centrus Energy, and nuclear reactor technology developer Lightbridge rose by more than 1%.

In contrast, shares of nuclear startup Oklo ended the day down 3.8%.

The U.S. Commerce Department has agreed to build new nuclear reactors from Westinghouse Electric Co. at a total cost of at least $80 billion, Comeco said Oct. 28. The project will create tens of thousands of jobs across the country and help the White House implement plans to expand nuclear power, according to its announcement. "This program will cement the U.S. as one of the world's leaders in nuclear power and strengthen Westinghouse's technology exports around the world," the statement said.

Under the agreement, the U.S. has pledged to arrange financing and simplify the permitting process for reactor construction, but details have not yet been disclosed. A Cameco spokesman said in a commentary for Barron's that "many details have yet to be finalized." The document also states that Westinghouse AP1000 series reactors will be used for the projects, and profits will be shared among all participants, including the U.S. government, after certain targets are met.

The agreement is designed to meet the rapidly growing demand for electricity from data centers that power artificial intelligence. Amid the AI boom, power consumption by U.S. data centers will double by 2035, reaching nearly 9% of total demand, Bloomberg notes.

"Our administration is focused on ensuring the rapid development, deployment and utilization of advanced nuclear technologies. This historic partnership strengthens national security and improves the nation's critical infrastructure," said Commerce Secretary Howard Lutnick, who was quoted by Bloomberg.

This article was AI-translated and verified by a human editor