Stock Spotlight: Uranium

URNM ETF: A Powerful Play on the Uranium Boom

The Sprott Uranium Miners ETF (NYSE Arca: URNM) is one of the most popular ways for investors to get direct exposure to the uranium sector. As the world increasingly turns to nuclear energy to meet rising electricity demand and decarbonization goals, uranium has become a hot commodity. URNM allows investors to gain access to the companies mining, refining, and holding uranium—without having to pick individual stocks.

How URNM Invests

URNM follows the North Shore Global Uranium Mining Index (URNMX), which focuses on companies with at least 50% of their assets tied to uranium-related activities. This means the fund isn’t just investing in traditional mining companies but also in firms that physically hold uranium or profit from uranium royalties. The goal? To capture value from both the supply and demand sides of the uranium market.

How Has URNM Performed?

As of February 26, 2025, URNM was trading at $35.96 per share, reflecting steady growth as uranium prices have gained momentum. The ETF has seen its fair share of volatility—natural for a commodity-driven fund—but it has largely trended upwards, fueled by increasing demand for nuclear energy. Countries like the U.S., China, and India are expanding their nuclear programs, and even once-skeptical nations are reconsidering nuclear power as part of their long-term energy mix.

Why URNM Deserves a Spot in Your Portfolio

URNM is a great option for investors who want direct exposure to the growing uranium sector without the hassle of picking individual stocks. With nuclear energy making a comeback, the demand for uranium is expected to rise, potentially driving up stock prices for mining and production companies.

That being said, uranium is a volatile market, heavily influenced by global politics, supply chain disruptions, and regulatory changes. URNM is best suited for investors with a long-term outlook and higher risk tolerance—those who are willing to ride out market swings in pursuit of strong future returns.

For anyone bullish on the future of nuclear energy and looking for a way to invest in uranium’s resurgence, URNM presents a compelling, well-diversified opportunity.

ATOM ETF: A Gateway to the Nuclear Energy Boom

The Global X Uranium ETF (ASX: ATOM) is a fund designed for investors looking to tap into the rapidly growing nuclear energy sector. With countries around the world increasingly turning to nuclear power as a clean and reliable energy source, uranium has become an essential commodity. ATOM provides exposure to companies involved in uranium mining, exploration, refining, and the production of nuclear components—essentially, everything that keeps the nuclear industry running.

How ATOM Invests

ATOM tracks the Solactive Global Uranium & Nuclear Components Total Return Index, meaning it invests in a diverse range of uranium-focused companies worldwide. This includes miners extracting uranium from the ground, companies refining it into usable fuel, and those manufacturing the high-tech components needed for nuclear power plants. By spreading its investments across multiple companies, ATOM offers a broad way to gain exposure to the entire nuclear energy supply chain rather than betting on a single stock.

Performance and Market Trends

Since its launch in late 2022, ATOM has positioned itself as a compelling investment option in the clean energy transition. While uranium prices can be volatile due to geopolitical factors and fluctuating demand, the long-term trend for nuclear energy remains strong. Countries like the U.S., China, and even Japan are expanding their nuclear power capabilities, which should drive demand for uranium in the coming years. This global shift toward energy security and decarbonization could positively impact ATOM’s performance in the long run.

Why ATOM Belongs in a Portfolio

Investing in ATOM makes sense for those looking to diversify into alternative energy beyond traditional renewables like solar and wind. Nuclear energy is gaining momentum as a key player in the clean energy mix, and uranium companies are seeing renewed interest from institutional and retail investors alike. ATOM offers an easy way to gain exposure to this trend without having to pick individual uranium stocks.

However, it’s important to keep in mind that uranium stocks can be highly volatile, influenced by policy changes, supply disruptions, and shifting energy markets. That means ATOM is best suited for investors with a higher risk tolerance and a long-term perspective—those who can ride out short-term fluctuations while positioning themselves for potential long-term gains as nuclear energy adoption accelerates.

For investors who believe in the future of nuclear energy and want exposure to this rapidly evolving sector, ATOM presents a compelling opportunity.