Nuclear Stocks Are Heating Up. Here's Why.

[@Nanalyze]

Subscribe to this channel NOW for more radioactive content on tech investing.☢️ kzbin.info

[@riffsoffov9291]

@Nanalyze I love how you call out BS. There's no point in shouting at adverts so you're my pressure relief valve.

[@Nanalyze]

Great to hear! Thank you for the valuable feedback.

[@KittySlay1million]

This is a excellent resource channel and deserves millions more views and subscribers. Thanks for providing this service…

[@Nanalyze]

Thank you very much for the kind words! We're growing slower than we could be because we're going to focus on quality and breadth, not just talking about the same five stocks that everyone else does in an attempt to chase clout. We'll get there! Please share our content and help grow our brand and we'll continue providing this great service ;) Joe P.

[@socalsilver6397]

Been in this trade for over a decade. The first 5 years, nothing. The last 5 years, 180° change in sentiment. Uranium sector is a no brainer imo. Like Rick Rule has said: “The easy money has already been made, the big money is coming” -Rick Rule Love the background! Cheers

[@Nanalyze]

Glad you enjoyed the video and background! Even if a thesis manifests as true, making money off it is a different story and can be very tricky. So far you see a lot of lip service and investments that pale in comparison to the $30 billion it takes to bring a new reactor online. It's hard to say if this has legs or not, but the great thing is this. If you invest in quality companies it doesn't really matter :)

[@socalsilver6397]

@@Nanalyze Yes! Getting positioned today can be tricky. Ppl have to choose between utilities, miners, physical etc.. As an aside, many reactors planned and under construction today (especially in China). I think what gives U sector legs is the projected supply deficit story. That’s not including future data center/SMR demand. This sector has been very good to me simply because I was early. You are a pro investor so I appreciate your views. Thx again 🤜🏻🤛🏼

[@GM4ThePeople]

SMR, OKLO & NNE: a saucy l'il "Nukular Triad" indeed. Someone ought to smooth some of the rough edges off of those wild relative value swings.

[@Nanalyze]

No doubt

[@jacobr4166]

Great video and analysis! Just subbed👍 You made some good points about VST. I bought VST during the Texas freeze back in 2020 at like $15/sh and ended up selling after that initial boom up to $100/sh. In hindsight I exited early but I wasn't a massive fan of their investments in battery/solar at the time. Came to the conclusion that they were mostly just booming off of the AI hype. Nuclear exposure, even after their acquisition of Energy Harbor is still a relatively low %. Still heavily dependent on NG fueled facilities. I'd still buy back in if it ever pulls back to a reasonable price, seem to be putting money into the right places nowadays.

[@Nanalyze]

Really glad you're finding value in our content. Utilities seem to be a solid play even without the nuclear thesis (and AI thesis) because of interest rates and how they affect utility stocks. Curious why you didn't find the solar/battery thesis appealing? Seems to be working pretty good for NEE but maybe there are risks we're not seeing. As for solar hardware, that's been a damn disaster!

[@jacobr4166]

@@Nanalyze I didn't mind the solar/Battery Capex in the short term, it definately can yield a high return while prices are high. I liked the ability to store and release at peak hours, that really was what helped me get over the solar investments in general when first looking at it. I believe it won't be as successful in times where power supply/demand has equated or become a little less favorable. Who knows if that situation even happens given how much demand is expected in the future though. I much prefered the acquisition of larger assets with more proven lifespans. I was hoping to see more NG and Nuclear assets added, the Energy Harbor deal was quite good in my eyes. I could be biased though, I work in the power/utilities industry and just prefer more Megawatts over assets that I found to rely on peak generating strategies to remain viable long term.

[@Nanalyze]

@@jacobr4166 Thank you very much for sharing your thoughts!

[@jacobr4166]

@Nanalyze Of course! Thanks for replying, its rare to see genuine interaction anymore.

[@ElliotSandberg]

Solid backdrop for a finance video. Great content as usual!

[@Nanalyze]

Not bad eh? There were mad bugs though. I climbed that mountain last year and it's really one of the most beautiful areas that doesn't get a lot of tourist traffic. Really glad you're enjoying the content. Joe P.

[@ChrisGreenawalt-zr7kd]

I appreciate your analysis. I'm curious what your thoughts are on Centrus (LEU)?

[@Nanalyze]

To have thoughts any thoughts worth sharing we'd need some time to research it. (Puts sales hat on.) Questions like this are best raised on our Discord server where we'll share thoughts with paying subscribers. :)

[@ajaykasthana]

Great insights ... Thank you for sharing

[@Nanalyze]

You're most welcome!

[@azulsimmons1040]

I been looking at NNE stock that is pre-revenue. It is being run up on hot air right now. Pretty crazy. These traders run things up when they get any sector looking like the next big thing.

[@Nanalyze]

Be very wary of anything pre-revenue. We don't walk away from pre-revenue, we run away. Fast.

[@adamhanninen8295]

Thanks Joe! As a theme nuclear is good for another 200 years, I like small modular units but it’s too early to see a leader

[@Nanalyze]

You're most welcome Adam! Lots of regulatory and political risk associated with this theme.

[@adamhanninen8295]

@@Nanalyze it’s going to be most useful in regions where solar, wind, and geothermal are less reliable year-round. Hopefully Canada, Sweden, and the Midwest have fewer restrictions moving forward

[@matt.stevick]

well said, they all pooped in the last month, and i saw it coming. i correctly invested in the established big boys: vistra, constellation then after that i went with peg and nrg as more utility plays too. ill sell when i know what that time is. could be 1 month or 3 decades. I do not know the future but when it is time to buy or sell i just know. 25 years of experience of learning constantly, it’s all i think about some days. i am good and rich.

[@Nanalyze]

Being good at investing and rich is what we all attain to be. Nice work sir. There is no substitute for experience.

[@KevinBrooks-en8ur]

As of today, 11/25/2024, my NNE stock was up over 45%. Even counting the current "pull-back," it's up over 20% (but I already took profit)

[@Nanalyze]

@@KevinBrooks-en8ur We always invest in companies, not stocks ;)

[@adshah20]

SMR technology is very expensive in per unit cost basis. Fusion is very difficult to achieve. Being in the industry myself, SMR is very expensive in my opinion. However, if the cost can come down it's one of the most compact form of energy which can be achieved. Being an asset heavy business, the operating leverage in this business is high.

[@Nanalyze]

Always good to hear from subject matter experts. Thank you for the comment!

[@adshah20]

@@Nanalyze appreciate it brother!

[@davidhalbleib2467]

"Fusion is very difficult to achieve" yeah it is, but don't you mean fission?

[@adshah20]

@@davidhalbleib2467 I meant fusion only, fission is already available, but the time at which a reactor becomes commercially viable take a very long time. Regulatory clearances also takes time.

[@davidhalbleib2467]

@@adshah20 interesting, thanks for the quick response. 👍🏻

[@Amcchun]

There's a documentary on Netflix about why the nuclear plant at three mile island was decommissioned. It was due to corruption, cut corners, and disregard for safety that almost caused a catastrophe. Scary stuff. Hopefully history doesn't repeat itself and hopefully we've made enough advancements in nuclear safety since then.

[@Nanalyze]

Thank you for the input! Sounds like a good documentary to watch. The factors you mentioned would explain why the reactor wasn't economically viable leading it being closed in the first place.

[@Amcchun]

@@Nanalyze it's definitely worth a watch! The documentary is called Meltdown Three Mile Island. The whistleblower in the documentary is definitely a hero. Without him who knows what could've happened.

[@BigSources]

Short answer: AI servers The only thing I'm worried about in nuclear companies is when the first smaller companies achieve commercially viable nuclear fusion and the big nuclear companies won't be able to adapt to the new technology in time or in the way smaller ones would be able to.

[@Nanalyze]

That is a good point about what to do with the older ones. The smaller ones hopefully take a lot less time to build.

[@Oppo13]

what do you mean by ai servers?

[@BigSources]

@@Oppo13 servers used for ai model training

[@derMikester]

Fusion is way off. Likelihood is 1% anytime soon

[@BigSources]

@@derMikester yeah not this or next year, but i think the first commercially viable one will be built this decade

[@malcolmbooth5656]

Amazing backdrop

[@Nanalyze]

Thank you! This was shot near Mt. Adams in Washington State.

[@mk-ki3jc]

Fuck me, another genius mind, one far greater than my own, brought to its knees by the word nuclear.. 😂

[@Nanalyze]

It's horribly stressful speaking to the camera and trying not to eff it up. Inevitably, it all goes to h3ll.

[@mk-ki3jc]

@@Nanalyze haha, you are killing it. I certainly don't have the courage. Btw thanks to the nanalyze team for saving me from smci..

[@TheBooban]

Well, my CRISPR stocks are in the toilet, so is this the next big thing? Have to buy a couple of stocks everywhere. But thanks for this video, it helped.

[@Nanalyze]

Really glad to hear you found this useful. Here's our most recent piece on gene editing stocks which you might find useful. :) kzbin.info/www/bejne/a3eoZXqantGrnrM

[@jimd1617]

thank you 🤝

[@Nanalyze]

You're most welcome!

[@clevenoyes8066]

You forgot Brookfield Corp (BN). They own 100% of Westinghouse. Westinghouse builds the SMRs.

[@Nanalyze]

They were likely left out for a reason. What percentage of Brookfield's revenues come from building SMRs?

[@mutantryeff]

Given each high-end NVIDIA DGX GB200 NVL72 uses over 120kW. ~8 of these will consume 1MW. That alone will burst the bubble of using AI without SMRs. They actually opted for 2 miles of copper cabling instead of optics to lower the system's power draw by 20kW. Unit 1 at Three Mile Island will provide 819MW, or enough power to run ~6,800 DGX GB200 NVL72 units. Oracle plans to use three SMRs to power a 1GW AI data center.

[@Nanalyze]

Huge numbers! Really going to need a proper ROI to justify all this resource consumption. If we're going to be building new reactors there's a five year lead time (at least for the traditional reactors).

[@mutantryeff]

@@Nanalyze I don't think people really understand AI. Some forms are based on statistics and statistics can be manipulated to get the "truth" that is to be projected. Some forms are based on 1st order predicate calculus where the base facts and rules can also be flawed (accidentally or intentionally) to get the "truth" that is to be projected. Garbage-in/garbage-out or "dishonesty-in"/"dishonesty-out". There are many professional papers showing how programmers relying upon AI to write code (whether for OTLP, OLAP or AI) has more flaws - especially security flaws - built into the new code. AI is how to make everyone lazy to accept lower quality results.

[@Nanalyze]

@@mutantryeff "AI is how to make everyone lazy to accept lower quality results." Don't disagree with that conclusion. A good example of that might be Grammarly. Claims it helps people become "better writers" but it probably just encourages laziness.

[@peterpalumbo1963]

SMRs seem like a very good energy stocks. The only thing that may be better would be fusion energy stocks, when they arrive.

[@Nanalyze]

We don't even consider investing in any company unless they have meaningful revenues. That simple rule has helped us avoid more failed companies than any other.

[@isabellezablocki7447]

What about UUUU stock (Energy Fuels Inc)?

[@Nanalyze]

It's not a name we've covered before

[@isabellezablocki7447]

@@Nanalyze Ok. So you are not considering it at all?

[@Nanalyze]

You can raise it on our Discord server so paying subscribers can help decide if we should consider it :)

[@PresidentBob1989]

I ran the numbers, SMR and AP300 are suitable for beginning phase, but overtime, it will not produce enough for the energy hungry Ai. AP1000 is more suitable for long term investment.

[@Nanalyze]

Kind of cool that you're able to analyze the various models on offer and see what fits best. Let's see what attitude the new administration takes. Musk likes both solar (a lot) and nuclear and he has their ear(s).

[@PresidentBob1989]

@ Trump already said that he is for Nuclear power, he calls it beautiful clean energy and we need lots of it for Ai.

[@Nanalyze]

We'll need to start building then - and spending lots of capital - because reactors take a lot of time and money to bring online. Will be interesting to see how the new administration drives this forward.

[@JordanCoyan]

That background is sick

[@Nanalyze]

Thanks man! That's Mt. Adams in WA. Climbed it last year :) Joe P.

[@Yut00bisSUS]

It's giving off volcano vibes

[@Nanalyze]

@@Yut00bisSUS It is!

[@jaqueitch]

A MUCH safer way to play Nukes is $BN. They support the infrastructure and land needed for nuclear deployment. They have an actual strategy for supporting the outlay of nukes. I do not own this yet, but it is a fantastic company, overall.

[@Nanalyze]

That firm does a lot of different things. The next step would be to see just how much exposure you're getting to the NEW CLEAR theme. :)

[@soundslight7754]

"Radioactive Return" says it all 👍

[@Nanalyze]

Hard to say if this is something that will have traction or just a passing fad.

[@soundslight7754]

@@Nanalyze Well Joe, over a long time horizon demand for energy is increasing all the times. Right now there is an acceleration because of EV adoption and build up of AI data centres on one side. The current generation of GPUs are still far too power hungry. We have to supply them and then spend more energy taking the heat away and cool them down also spend more energy to dissipate the heat. Added together in the short term demand for energy is going through the roof while fossil fuel supply is being constraint by geopolitics on several theatres plus our concerns for pollution environment and greenhouse gasses limits potential of coal, oil or gas to increase the supply side. We've been doing what we can with green energy sources: solar and wind, could probably do more with hydroelectric generation but we're not able to economically absorb short term needs and supply fluctuations.... This is where reviving existing nuclear power plants come in. Going into future, new generations of GPUs will be more energy efficient, also rate of increase of data centres will slow down, but all the millions of installed capacity will stay in use for another 5-10 years and EV adoption will continue to increase even accelerate. I'm of opinion that radioactive is here to stay and expand but not on a large scale mega generator form factor, micro generators better fit our changing time, location and time scale needs. We produce them in factories and place them where new demand emerges. Spreading the risk and capital requirements is more palatable.

[@soundslight7754]

@@Nanalyze My message disappeared again! Not sure what to do to stop that

[@Nanalyze]

Hey don't worry! Looks like your message is still here. Very good thoughts, thank you for sharing. People who take the time to leave thoughtful comments as you have help contribute to the entire community's benefit.

[@soundslight7754]

@@Nanalyze Thank you Joe. We all benefit on this channel from your wisdom, experience, financial and analytical prowess also presentation and storytelling skills. I have a lot of respect for you, share my views on occasions because I see fertile grounds, see substance and not froth 👍

[@sridhar6358]

I have recently purchased 30 shares of BWXT stock at 100 dollars is it worth holding them or exit right now

[@Nanalyze]

You need to make those decisions based on your own convictions. When you buy a stock, it should be for the long hall and then you don't need to sweat the short-term volatility.

[@feralNYC44]

Sam Altman and Huang Jensen had a meeting with the White House about Nuclear Energy to power AI. Sam Altman is the Chairperson of OKLO- Nuclear Fission. Jensen likes to give Sam Altman money. OKLO may be the future of Nuclear Energy. Just a hunch.

[@Nanalyze]

Hunches and $5 might get you a coffee at Starbucks. We never ever invest in companies unless they have products/services that can be sold with positive gross margins (ideally, healthy ones).

[@feralNYC44]

@@Nanalyze time will tell.

[@loopdigga86]

It's not renewable if there's a finite amount of uranium. It's green energy for sure, though.

[@Nanalyze]

Always a good debate to be had around this. The preferred these days is "carbon free."

[@midwestcannabis]

Cool! 🤩🤩😎😎

[@Nanalyze]

Thank you!!

[@LegaliseFinland]

Nice mountain

[@Nanalyze]

Adams is gorgeous, especially when covered in snow!

[@peanutaxis]

New. Clear.

[@Nanalyze]

(Makes mental note.)

[@tickertutor]

$NNE is an absolute dumpster fire. None of exec mgmt works for the company on an official basis. They’re all independent contractors. ???

[@Nanalyze]

Not sure about who is running the outfit and whether they're employees or contractors but one thing is for sure. This $590 million with no revenues should be avoided like the plague - same holds true for all companies with no revenues.

[@factotums]

It's funny, and kind of depressing, that fusion is always five years away. It's like completing the Sagrada Familia. I used to follow this international effort called ITER that had some 20 countries working together to build a fusion reactor. Looking into it now, Wikipedia describes it as 'the most expensive science experiment and complicated engineering project in human history' beating out the Large Hadron Collider and International Space Station, so apparently it's still going. So I'll have to read your piece on fusion and molten salt reactors, and SMRs, because I know, or I have heard, China has been working on those and thorium based reactors which could be used internationally without the risk of uranium enrichment. Speaking of decommissioned nuclear reactors, I know of two just near where I live on the shores of Lake Michigan, which seems like a stupid place to build a reactor because if anything went wrong you would contaminate the world's largest body of fresh water. That aside, I'm a fan of nuclear energy.

[@Nanalyze]

Great analogy, great insightful comment, thank you. Yep, we looked at ITER when trying to find out who is working on these problems.

[@Gettin_chunky]

Nuke-u- lure 😂😂😂 the word is nuclear. Why do so many people have such a hard time saying this word

[@Nanalyze]

That's a really good question

[@sahasra9]

Have you heard of MIR? May be their demand will increase as they are into radiation detection.....

[@Nanalyze]

Haven't. Looks like a pick and shovel play? Would have to give it some research to see just how much the energy thesis exposure is. Thank you for raising.

[@sahasra9]

​​@@Nanalyzeit moving up now. But I don't think their growth has been good. I am in a limbo to sell or not :). I am assuming its going up because of overall momentum in nuclear stocks

[@Nanalyze]

@@sahasra9 You're probably right

[@brandonmesser2503]

Its quite easy to understand why it's was shuttered to poor economics. Solar and wind have been subsidized at every incremental level. There are grants, loans, and permitting easmafor manufacturing, land, installation, the power being sold and the pqer being used. Nnuclear had the exact opposite. What's changed is now nuclear has those same usage subsides per mwh and loan ability. This now gives nuclear upfront cost equality. The back end or long term nuclear has always been severally more profitable. Also, you all need to understand that they are suppressing the readiness of SMR manufacturing. They are ready to go. This is a world wide war for control right now and SMRs (nuclear power) will be our best soft power asset. I will post a link about Nuscale showing they have their manufacturing plant ready. The video is also a year old. Also, check the price action of Nuscale in the last 6 months. It's 6x!!!

[@Nanalyze]

We look at Lazard's LCOE to determine how competitive energy methods are. So based on that renewable energy (solar wind) is quite competitive. SMRs are ready to go? Cool. We'll look forward to some producing revenues. And we could care less about "price action." Around here we invest in companies, not stocks. And we pay attention to revenue growth, something Nuscale is sorely lacking.

[@darin7369]

Nucular?

[@Nanalyze]

Hold on a minute. Are you saying that I'm not pronouncing the word nuclear correctly? ;) Unfortunately I have a speech disorder and mispronounce words all the time. My speech therapist says I'm hopeless. :( Joe P.

[@KevinBrooks-en8ur]

Nano Nuclear actually has two reactors; Zeus and Odin. The country of Finland has several viable options. The reason AI companies are investing is clear. The Biden administration's energy policy failed, and AI is "power hungry," and requires massive energy. They want their own sources of power. Nano is also developing nuclear for outer space applications (hmmm, who might be interested in that?) Study more and talk more slowly.

[@Nanalyze]

Here. I'll say it slower for those in the back. Nooooo revenues. Nooooo interest. Noooooo exceptions. Study that. ;) Joe P.

[@4g63t8]

AI and quantum computing are tied to these trades.

[@Nanalyze]

AI may be. Quantum computing, not yet.

[@mickeybeavison1053]

I love the content except when you cut to the camera to look at you. I don’t understand the purpose of cutting to yourself in some random place, pretty disorienting for your video - anomaly. Otherwise really good content

[@Nanalyze]

Great comment on editing, something that we're trying to improve. :) This is the first time someone has raised this. The idea is to (as much s possible) keep the video animated so people don't zone out and click off the video. These days you need more than just good content. The editor has a rhythm and reason behind when they cut to video of me talking. Would love to know how we might make this less random for better editing? Joe P.

[@iangantner6976]

I worked in nuclear maintenance for a while. It, by NO MEANS, makes me an expert, but it does give me some insight. One thing I would point out is that America’s plants, with noted exception of Plant Vogtle reactor 3, were designed in the 60s and 70s. They had 25 year licenses and designs which were obviously extended. Since we stopped building in 1979, they all are near 50 years old. The plants sometimes undergo some extensive maintenance, but are still running on very old infrastructure with dated designs. I have long felt (purely opinion) these old reactors won’t make it much beyond 50 years without some major malfunctions. Since these old plants were designed to be shuttered, major maintenance is often an engineering feat of remarkable achievement and proportional cost. My opinion is this could become a PR nightmare for all involved in resurrecting or extending the life of these convalescing geriatrics. New designs, supposedly, are more automated and inherently safer and seem like a more viable option to me.

[@Nanalyze]

One of the best things about this channel is that people take the time to leave insightful comments that add value to the conversations. Great points made, thank you for sharing! Joe P.

[@smirndogg]

It’s pronounced nuclear not nukular

[@Nanalyze]

You're the first person to raise this. Noted!

[@PetrValda305]

Buy Uranium Energy Corp if u want to get some profit

[@Nanalyze]

Really? "Get some profit?" So you'll be there to tell everyone when to sell, right? Around here we prefer that people put some thoughts into their comments so people actually learn something. What's the bull thesis then, succinctly?

[@PetrValda305]

@ 37% up last month

[@Nanalyze]

@@PetrValda305 Take the pissing contest instant analyst behavior somewhere else please. If people want running arbitrary commentary on what share prices are doing they can go to Twitter for that. Around here we invest in companies, not stocks.

[@briancase6180]

Sigh, it's pronounced new-klee-are. Not new-cue-lar. George W notwithstanding. 😏

[@Nanalyze]

I know. (Sighs.) I have a genetic predisposition to mispronounce everything. I was actively thinking that throughout the entire piece but alas. It still crept in and my strategery failed. Back to the drawing board. Joe P.

[@GreenspudTrades]

That pronounciation of "nucular" fooled him once, shame on him. Fool him twice... it can't fool him again.

[@Nanalyze]

@@GreenspudTrades Now THAT's funny!

[@JosephBarry-w6b]

It is pronounced nu-cle-ar, not nukular. Please a fix if you don't want down marks.

[@Nanalyze]

So you want to video re-recorded, the existing video deleted, and then notification when all that's taken place? We'll get right on that since we're a startup with unlimited resources. And if you send us your physical address, we'll fly someone over to personally get a sign off on the change and they'll bring you a bottle of Opus One and two 18-year-old Thai twins for all the pain and suffering we've caused. Sound good? ;)

[@CoryPchajek]

Words are never pronounced by fiat.

[@DingleberryPie]

Please stop saying nucular, it's nuclear bud

[@Nanalyze]

Really? Nobody has mentioned that yet at all. Little engagement trick there bud ;)

[@DingleberryPie]

@@Nanalyze Nice

[@LawrenceA.Marshall]

It's pronounced "nu-cle-er", NOT "nu-cu-ler"! Please stop broadcasting your high school ignorance.

[@Nanalyze]

Thank you for this feedback. You're the first person to mention this so thank you for taking the time to point that out. We've reported this offense to HR and they'll be handling it. Rest assured Joe won't be working here anymore. To be fair, it just wasn't a good fit. We wish him all the best in his future endeavors.

[@jnkoa33]

Bro, it's pronounced nu cle ar. Not nu cu lar. All of the respect you deserve will be wiped away if you mispronounce words. Just sayin'

[@Nanalyze]

Don't worry. We get all the respect we deserve ;) Just sayin'

[@jnkoa33]

You then started saying it correctly 50% of the time

[@Nanalyze]

Thank you for keeping track ;) The presenter definitely has issues so we wouldn't expect anything less.