Centrus Energy (NYSE:LEU) Shares Up 8.4% - Should You Buy?

Key Points

• Shares of Centrus Energy jumped 8.4% intraday to about $188 on Wednesday, but volume was light (~170,256 shares vs. a ~1.09M average), indicating the move may be thinly traded.
• Analyst sentiment is mixed but tilting positive with a consensus rating of "Moderate Buy" and an average price target of $270.64, while individual targets range roughly from $137 to $390.
• Centrus reported a quarterly EPS miss ( $0.79 vs. $1.42 expected) while revenue roughly met estimates; the company has a $3.67B market cap, strong liquidity (quick ratio ~4.83, current ratio ~5.59) but a debt/equity of ~1.54, and analysts expect about 2.63 EPS for the fiscal year.

Centrus Energy Corp. (NYSE:LEU - Get Free Report)'s share price traded up 8.4% during mid-day trading on Wednesday . The stock traded as high as $186.50 and last traded at $188.1560. 170,256 shares traded hands during mid-day trading, a decline of 84% from the average session volume of 1,088,934 shares. The stock had previously closed at $173.59.

Wall Street Analyst Weigh In

Several research firms recently commented on LEU. Roth Mkm reiterated a "neutral" rating and set a $137.00 target price on shares of Centrus Energy in a research report on Wednesday, February 11th. UBS Group dropped their price target on shares of Centrus Energy from $245.00 to $195.00 and set a "neutral" rating for the company in a research note on Thursday, March 5th. Evercore reiterated an "outperform" rating and set a $390.00 price target on shares of Centrus Energy in a report on Monday, January 5th. William Blair restated an "outperform" rating on shares of Centrus Energy in a report on Tuesday, January 6th. Finally, B. Riley Financial raised their target price on Centrus Energy from $221.00 to $315.00 and gave the stock a "buy" rating in a research report on Monday, December 22nd. One analyst has rated the stock with a Strong Buy rating, six have given a Buy rating and seven have issued a Hold rating to the company's stock. According to data from MarketBeat.com, the company currently has an average rating of "Moderate Buy" and a consensus price target of $270.64.

Centrus Energy Trading Up 7.5%

The stock has a market cap of $3.67 billion, a P/E ratio of 44.93 and a beta of 1.26. The company has a debt-to-equity ratio of 1.54, a quick ratio of 4.83 and a current ratio of 5.59. The firm's fifty day simple moving average is $224.87 and its 200-day simple moving average is $272.67.

Centrus Energy (NYSE:LEU - Get Free Report) last posted its quarterly earnings data on Tuesday, February 10th. The company reported $0.79 EPS for the quarter, missing analysts' consensus estimates of $1.42 by ($0.63). Centrus Energy had a net margin of 17.34% and a return on equity of 15.52%. The firm had revenue of $146.20 million during the quarter, compared to the consensus estimate of $145.40 million. The firm's quarterly revenue was down 3.6% on a year-over-year basis. Equities research analysts expect that Centrus Energy Corp. will post 2.63 EPS for the current fiscal year.

Institutional Inflows and Outflows

Hedge funds have recently made changes to their positions in the business. Vermillion Wealth Management Inc. boosted its position in shares of Centrus Energy by 5,000.0% during the 4th quarter. Vermillion Wealth Management Inc. now owns 102 shares of the company's stock valued at $25,000 after purchasing an additional 100 shares in the last quarter. Aventura Private Wealth LLC acquired a new position in Centrus Energy in the fourth quarter valued at approximately $30,000. RiverPark Advisors LLC acquired a new position in Centrus Energy in the third quarter valued at approximately $33,000. Fulcrum Asset Management LLP bought a new position in shares of Centrus Energy during the 3rd quarter worth approximately $34,000. Finally, Hilton Head Capital Partners LLC acquired a new stake in shares of Centrus Energy during the 4th quarter worth approximately $36,000. 49.96% of the stock is owned by institutional investors.

About Centrus Energy

Centrus Energy Corp is a U.S.-based supplier of nuclear fuel and enrichment services, specializing in the production of low-enriched uranium (LEU) for commercial power reactors and highly enriched uranium for naval propulsion. Through its Centrus Global subsidiary, the company provides technical support, fuel fabrication services and recycled uranium products to utilities operating light-water reactors. Centrus also develops advanced centrifuge technologies aimed at improving enrichment efficiency and reducing the cost of nuclear fuel.

Originally founded as the United States Enrichment Corporation (USEC) in 1998 following a spin-out from the U.S.

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