Stifel lowered its price target for Centrus Energy Corp. (LEU) to $216 from $246, while reaffirming its "Buy" rating. The new target still suggests significant upside from the current trading price.
The firm cited risks related to the U.S. Department of Energy's proposed fiscal year 2027 budget. Stifel noted the budget proposal does not fund Centrus's HALEU cascade operation. This places approximately $800 million of the company's backlog at risk. This adjustment comes despite Centrus recently reporting strong second-quarter results and growth in its commercial backlog.