Centrus Energy's stock down 30%, valuation still risky despite nuclear growth potential

Centrus Energy's stock has dropped 30% recently, but its valuation remains high and risky for investors. The company secured a $900 million contract signaling future growth, yet this reflects capacity expansion rather than current demand, with ongoing cost-overrun risks. Demand for advanced nuclear fuel (HALEU) depends heavily on uncertain policies, and the $3.8 billion backlog includes contingencies related to capacity and financing. With a forward earnings multiple around 55x and unclear earnings growth, the stock's 12-month outlook is flat, with potential for significant gains or losses depending on performance.