Assessing NANO Nuclear Energy’s Valuation After New Analyst Coverage And Progress On KRONOS MMR Plans

Texas Capital Securities recently began formal coverage of NANO Nuclear Energy (NNE), bringing fresh attention to its KRONOS MMR microreactor plans, broader fuel and transport projects, and new regulatory talent in licensing.

See our latest analysis for NANO Nuclear Energy.

At a share price of US$34.55, NANO Nuclear Energy has a 1 month share price return of 30.77% and a year to date share price return of 25.14%. The 1 year total shareholder return of a 5.45% decline and the 90 day share price pullback of 26.51% suggest momentum has recently cooled, despite renewed interest following analyst coverage, supportive comments on nuclear energy at Davos and the appointment of a seasoned Licensing Director.

If the renewed focus on advanced reactors has your attention, it could be a good moment to see what else is shaping the sector through healthcare stocks.

With the stock up 31% over the past month but still sitting below some analyst targets and with no revenue yet on the board, you have to ask yourself: is this a genuine entry point, or is the market already pricing in future growth?

Preferred Multiple of 7.8x Price to Book: Is it justified?

At a last close of $34.55, NANO Nuclear Energy is trading on a P/B of 7.8x, which screens as expensive against both peers and its wider industry.

The price to book ratio compares the company’s market value with the book value of its net assets. This can be a useful anchor for pre revenue, loss making businesses where earnings based metrics are less informative.

For NANO Nuclear Energy, the data points to a richer valuation than both its direct peer group and the broader US Electrical industry. The company is described as expensive versus peer averages on P/B of 7.4x. It also sits well above the US Electrical industry average P/B of 2.8x, suggesting the current share price builds in materially higher expectations than those implied for many listed comparables.

See what the numbers say about this price — find out in our valuation breakdown.

Result: Price to Book of 7.8x (OVERVALUED)

However, you are still relying on a pre-revenue company with a net loss of US$40.07m and a relatively high price-to-book ratio of 7.8x to justify the story.

Find out about the key risks to this NANO Nuclear Energy narrative.

Build Your Own NANO Nuclear Energy Narrative

If you see the numbers differently or prefer to roll up your sleeves and work from the raw data, you can shape a full view in just a few minutes, Do it your way.

A great starting point for your NANO Nuclear Energy research is our analysis highlighting 1 key reward and 5 important warning signs that could impact your investment decision.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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