This miner processes uranium and rare earths. Goldman says it should rally
Goldman Sachs has initiated research coverage of the miner Energy Fuels with a buy rating, citing the company’s exposure to two big themes in the energy industry — uranium and rare earths. Goldman set a price target of $30 per share for Energy Fuels, implying nearly 40% upside from Tuesday’s close. Energy Fuels, headquartered in Lakewood, Colorado, operates the highest grade uranium deposit in the U.S., according to Goldman. It also operates the White Mesa Mill in Utah, the only domestic facility that can process light and heavy rare earths as well as uranium, according to the bank. Goldman sees major structural shifts in the uranium and rare earths sectors due to U.S. support for nuclear power and a push to reduce dependence on China, analyst Brian Lee said. “UUUU maintains top-tier assets across both end markets, including a single processing facility that can process uranium and light/heavy rare earths and is nearing a meaningful expansion,” Lee told clients in a Tuesday note. This provides “a key competitive advantage as it looks to capitalize on these emerging positive trends,” he said. UUUU 1Y mountain Energy Fuels over the past year
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