UBS Analysis: Nuclear Power Set for Renaissance, Investment Opportunities Abound
In a recent note, UBS analysts highlighted the potential for a resurgence in the nuclear power industry, positioning it as a key solution to the challenges of rising electricity demand and climate change. The Swiss bank sees nuclear energy as a proven low-carbon power source that can provide large amounts of baseload power, outperforming other sources in terms of electricity output.
With the announcement of a global goal to triple nuclear energy capacity by 2050, UBS believes there is significant potential for growth in the sector. The bank envisions the possibility of adding 58-86 GW of new nuclear capacity by 2030, with China expected to account for a significant portion of these additions.
In terms of investment opportunities, UBS highlights companies such as CGN Power, Constellation Energy, Korea Electric Power, Nuscale Power, Fluor, and others as having potential upside in the nuclear sector.
Overall, the analysis suggests that nuclear power is poised for a renaissance, driven by the need for low-carbon solutions and energy security. Investors may want to consider exploring opportunities in this sector as governments and companies look to expand their nuclear capacity to meet future energy needs.
