According to Goldman Sachs, as investment recovers worldwide after a long period of stagnation, nuclear power is poised to grow significantly. Goldman said the nuclear industry suffered a lack of investment in the wake of the Fukushima nuclear accident in Japan in 2011, but the sector is at its current inflection point as governments around the world agree to play a key role in the transition to energy that releases less carbon. According to the investment bank, global investment in nuclear power has been rising rapidly over the past four years, with a combined growth rate of 14% compared to about 1% before 2020. The policy environment has also benefited, with President Donald Trump signing several executive orders on Friday aimed at accelerating nuclear deployment. Goldman points to these stocks as a way for investors to be exposed to trends. Cameco Corp. – Cameco, one of the world’s largest uranium mining companies with a market capitalization of $25 billion, offers 100% exposure to the nuclear value chain. It owns shares in two Canadian mines and one mine in Kazakhstan. The company also has a 49% position at Westinghouse and is also exposed to the reactor structure. Goldman’s price target is buying for $65 and charges Cameco, suggesting an 11% increase. NUSCALE – The only company in the US to submit a small modular reactor design to NRC, and is expected to be certified last year. Small modular reactors are expected to play a key role in the future of nuclear power, and are committed to reducing costs and speed deployment. Goldman is neutral on the Nuscale, giving it a price target of $24, meaning a 21% downside. Ge Vernova – Ge Vernova, a diverse manufacturer of electricity equipment, has a small modular reactor design approved for construction in Ontario, Canada. The company is seeing an opportunity to add 5 gigawatts of nucleation energy in the US by the end of the decade. Goldman bought Ge Ververnova, whose price target is $500, meaning it’s up over 7%. Vistra – Independent power producers own a 41 gigawatt generation portfolio with a 6.5 gigawatt nuclear weapon. Vistra is considered a candidate to win power contracts with nuclear data centers or other large customers. Goldman has a price target of $134, and is neutral on Vistra, meaning a 15% downside. Mitsubishi Heavy Industries – Nuclear Power is one of the major business segments of Japanese companies. Mitsubishi is currently focusing on reopening Japan’s nuclear power plants, which were closed in response to the Fukushima accident. According to Goldman, the reboot and maintenance work will lift Mitsubishi for the near future. American Deposit Receipt Transaction under US ticker symbol Mhvyf
