Overview
Goldman Sachs has initiated coverage of Energy Fuels (NYSE: UUUU) with a Buy rating and set a price target of $30.00, which the bank says represents approximately 32% upside from the stock's current levels. The initiation aligns with prevailing analyst sentiment; InvestingPro data referenced by market sources shows Energy Fuels has returned 337% over the past year, and analysts continue to classify the stock as a "Strong Buy."
Assets and competitive position
In its coverage note, Goldman Sachs emphasized Energy Fuels’ ownership of what it describes as the highest-grade uranium deposit in the United States. The firm also highlighted the White Mesa Mill as a strategic asset: it is identified as the only U.S. processing facility capable of handling both uranium and rare earth elements, a capability the bank views as a competitive advantage.
Goldman Sachs further pointed to the company's balance sheet metrics, noting liquid assets exceed short-term obligations and citing a current ratio of 11.5 as evidence of liquidity strength.
Rare earths and mineral sands pipeline
The bank documented that Energy Fuels holds a portfolio of three heavy mineral sands assets that are expected to be brought online over the next five years. Those sands are intended to supply monazite, which is an essential feedstock for rare earth production.
Goldman Sachs flagged the company’s move into both light and heavy rare earth production - naming NdPr, Dy and Tb specifically - and observed that this expansion positions Energy Fuels uniquely versus its peers, particularly in light of implied strong demand and pricing trends for heavy rare earths.
Policy environment
The bank also cited likely increasing policy support aimed at securing domestic supply and production capabilities for critical minerals as a favourable backdrop for Energy Fuels’ strategy.
Recent corporate developments
Energy Fuels has publicly reported that it exceeded its 2025 uranium production and sales guidance, producing in excess of 1 million pounds of finished uranium, and has increased both near-term and long-term sales expectations. Those production results were met with positive market reactions, according to the reporting.
Separately, Energy Fuels announced plans to acquire Australian Strategic Materials Limited in a transaction valued at $299 million. The stated objective of the deal is to create the largest fully integrated rare earth elements producer outside of China by combining ASM's Korean and planned American Metals Plants with Energy Fuels' existing production capabilities.
The company also released a feasibility study for its Vara Mada project in Madagascar, which disclosed a post-tax net present value of $1.8 billion and a projected mine life of 38 years. The study projects that, at full capacity, the project could generate up to $500 million in annual EBITDA.
In the brokerage community, Roth/MKM revised its stance on Energy Fuels, upgrading the stock from Sell to Neutral and raising its price target to $15.50.
Market context and investor considerations
Goldman Sachs' initiation emphasizes a mix of asset quality, processing capability and an expanding rare earths pipeline as the core drivers for its Buy rating. The price target and the firm's thematic focus on domestic critical mineral supply chain development frame the case for investors assessing the stock's prospects.
Note: This article presents reported assessments and company disclosures without projecting outcomes beyond the information provided.