Cameco's Adjusted EBITDA Up 44% in Q126: More Upside Ahead?

Cameco Corporation’s CCJ adjusted EBITDA has shown a strong and sustained upward trajectory over the past few years, driven primarily by uranium price strength and contributions from Westinghouse.In the first quarter of 2026, adjusted EBITDA rose 44% year over year to CAD 509 million ($372 million…

Cameco Corporation’s CCJ adjusted EBITDA has shown a strong and sustained upward trajectory over the past few years, driven primarily by uranium price strength and contributions from Westinghouse.

In the first quarter of 2026, adjusted EBITDA rose 44% year over year to CAD 509 million ($372 million). This follows a strong 2025 performance, during which adjusted EBITDA rose 26% year over year to CAD 1.93 billion ($1.41 billion). Over a longer horizon, profitability has expanded materially, with adjusted EBITDA rising more than fourfold from CAD 431 million in 2022 to CAD 1.93 billion in 2025.

The uranium segment remains the primary engine of EBITDA growth. In 2025, adjusted EBITDA increased 6% year over year to CAD 1.26 billion ($ 0.92 billion). This was supported by a 7% rise in revenues driven by a 9% increase in average realized uranium prices in Canadian dollar terms, somewhat offset by a 2% dip in sales volumes. Total cost of sales (including depreciation and amortization) increased 3%.

Momentum strengthened further in the first quarter of 2026, when uranium revenues rose 15% to CAD 712 ($520 million) on higher volumes and prices. Cost of sales (including D&A) increased 9%. Adjusted EBITDA for the segment rose 48% year over year to CAD 423 million ($309 million).

The fuel services segment delivered strong growth in 2025 but showed some normalization in early 2026. In 2025, adjusted EBITDA increased 51% to CAD 219 million ($160 million). Revenues were up 22% for the year, attributed to a 14% increase in realized pricing. Total cost of products and services sold (including D&A) increased 10%.

However, in the first quarter of 2026, adjusted EBITDA declined 28% to CAD 54 million ($39 million). Revenues dipped 1% with higher volumes being offset by a 17% decline in average realized prices. Total cost of products and services sold (including D&A) increased 35%, weighing on the profitability in the quarter.

Westinghouse has emerged as a rapidly growing contributor to Cameco’s overall EBITDA profile. In 2025, adjusted EBITDA from Westinghouse increased 61% to CAD 780 million ($572 million) in 2025. This reflects the increase in Cameco’s share of Westinghouse’s second-quarter revenues tied to the Dukovany construction project. In the first quarter of 2026, adjusted EBITDA was CAD 122 million ($89 million), up 33% year over year. Management expects continued momentum, with 2026 guidance indicating Cameco’s share of Westinghouse’s adjusted EBITDA between $370 million and $430 million.

Looking ahead, Cameco’s EBITDA growth is expected to remain supported by sustained strength in uranium pricing, driven by structurally tight supply conditions and rising nuclear energy demand tied to energy security and decarbonization goals. The fuel services segment is expected to remain a stable contributor, supported by consistent conversion demand and improving pricing dynamics.

Westinghouse represents an increasingly important long-term growth driver, offering exposure to global reactor restarts and nuclear construction pipelines. The Department of Energy’s (DOE) Office of Energy Dominance Financing (EDF) recently announced a conditional commitment of up to $17.5 billion in loan facilities to support investment in U.S. nuclear reactors. This is expected to provide the majority of the financing for Westinghouse to purchase the long-lead time items for up to 10 AP1000 nuclear reactors in the United States. The DOE financing package, combined with previous U.S. government initiatives supporting nuclear power, could create substantial opportunities for both Westinghouse and Cameco.

CCJ’s Price Performance, Valuation & Estimates

In the past year, Cameco shares have gained 40.7% compared with the industry’s 21.3% growth. Uranium peers Energy Fuels UUUU gained 154.2% while Centrus Energy LEU dipped 9.7%.

CCJ stock is trading at a forward price-to-sales ratio of 17.92 compared with the industry’s 5.21. Energy Fuels is trading higher at 19.93, while Centrus Energy is trading lower at 6.76.

The Zacks Consensus Estimate for Cameco’s earnings for 2026 of $1.21 per share indicates year-over-year growth of 17.5%. The same for 2027 implies growth of 58.7%.

The consensus estimate for Cameco’s earnings for 2026 has moved up over the past 60 days, while the same for 2027 has moved down, as shown in the chart below.

The company currently carries a Zacks Rank #3 (Hold).

You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

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