Centrus Energy (LEU) Surges 11.65% Intraday: What’s Fueling This Nuclear Powerhouse’s Rocket Ride?

Summary
• Centrus Energy (LEU) rockets 11.65% to $238.705, hitting its 52-week high of $264.53
• Q2 2025 revenue crushes estimates by 18.68%, gross margin expands to 35%
• DOE extends HALEU contract through 2026, with $3.6B backlog to 2040

Centrus Energy’s stock has erupted on Tuesday, surging over 11% in a single trading session. The nuclear fuel provider’s Q2 results—marked by a 35% gross margin and a $154.5M revenue beat—have ignited investor frenzy. With a $3.6B backlog and a strategic HALEU production milestone, the stock’s volatility reflects a perfect storm of operational execution and sector tailwinds.

Q2 Earnings & HALEU Milestone Ignite Centrus Energy’s Surge
Centrus Energy’s 11.65% intraday surge is driven by a blockbuster Q2 2025 earnings report. The company delivered $154.5M in revenue (up 18.68% from estimates) and expanded gross margins to 35% from 19% YoY. A critical catalyst was the successful delivery of 900kg of HALEU to the DOE, triggering a contract extension through 2026. Additionally, the $3.6B backlog—spanning commercial LEU and national security contracts—signals long-term demand. The stock’s 221% YTD gain and 405% surge from its 52-week low of $34.91 underscore its transformation into a nuclear renaissance play.

Oil, Gas, and Consumable Fuels Sector Mixed as XOM Drags
The Oil, Gas, and Consumable Fuels sector remains fragmented, with Exxon Mobil (XOM) down 0.66% despite Centrus Energy’s rally. Energy Transfer’s $5.3B pipeline expansion and Shell’s undervalued P/E ratio (24.77 vs. sector average) highlight sector divergence. While Centrus benefits from nuclear-specific tailwinds, traditional energy plays face regulatory and macroeconomic headwinds, creating a decoupling in performance.

Options & ETF Playbook: Capitalizing on Centrus Energy’s Volatility
• 200-day average: 106.38 (far below) • RSI: 44.56 (neutral) • MACD: 10.12 (bullish) • Bollinger Bands: $187.45–$253.97 (current price near upper band)

Centrus Energy’s technicals suggest a continuation of its bullish momentum. The stock is trading near its 52-week high, with RSI in neutral territory and MACD signaling strength. Key support/resistance levels at $168.65 and $73.92 (200D) are far below current levels, indicating a low probability of reversal. No leveraged ETFs are available for direct exposure.

Top Options Picks:
1. LEU20250815C230 (Call) • Strike: $230 • Expiry: 2025-08-15 • IV: 84.71% • Leverage: 12.82% • Delta: 0.645 • Theta: -1.199 • Gamma: 0.011 • Turnover: $661,830
- IV (high): Reflects elevated volatility expectations
- Delta (moderate): Balances directional exposure with time decay
- Theta (high): Aggressive time decay suits short-term bets
- Gamma (high): Sensitive to price swings, ideal for volatile moves
- Turnover (high): Ensures liquidity for entry/exit
- Payoff: At 5% upside ($250.64), profit = $20.64/share. This call offers a 70% price gain potential with moderate risk.

2. LEU20250815C240 (Call) • Strike: $240 • Expiry: 2025-08-15 • IV: 91.75% • Leverage: 16.53% • Delta: 0.530 • Theta: -1.199 • Gamma: 0.011 • Turnover: $854,185
- IV (very high): Suggests strong conviction in near-term volatility
- Delta (moderate): Captures upside without full exposure
- Theta (high): Aggressive decay aligns with short-term focus
- Gamma (high): Amplifies gains if price accelerates
- Turnover (high): Ensures tradability
- Payoff: At 5% upside ($250.64), profit = $10.64/share. This call offers a 45% gain with lower leverage than the $230 strike.

Action Insight: Aggressive bulls may consider LEU20250815C230 into a bounce above $230, while conservative traders could use LEU20250815C240 for a higher probability of profit in a continuation scenario.

Backtest Centrus Energy Stock Performance
The LEU ETF experienced a significant surge, with a maximum intraday increase of 12%, on August 6, 2025. Following this event, the ETF delivered impressive returns, outperforming the benchmark substantially:1. Total Return: The LEU ETF achieved a total return of 981.58% over the backtested period, which is significantly higher than the benchmark return of 84.41%. This indicates that the ETF not only gained value but also did so at a higher rate than the market.2. Excess Return: The excess return, calculated as the difference between the LEU ETF's return and the benchmark return, was 897.17%. This highlights the ETF's exceptional performance relative to the market.3. CAGR: The Cumulative Average Growth Rate (CAGR) of the LEU ETF over the backtested period was 62.68%, which is a strong indicator of consistent growth.4. Risk Metrics: The Sharpe Ratio, which measures risk-adjusted return, was 0.69, suggesting that the returns were achieved with acceptable levels of risk. The maximum drawdown was 0.00%, indicating that there was no loss during the backtested period.In conclusion, the LEU ETF delivered outstanding performance following a 12% intraday surge, achieving high total returns, excess returns, and a strong CAGR, while maintaining acceptable risk levels.

Centrus Energy’s Rocket Ride: Hold for the Nuclear Rebirth or Cash In?
Centrus Energy’s 11.65% surge is a testament to its strategic positioning in the nuclear renaissance. With a 35% gross margin, $3.6B backlog, and HALEU production milestones, the stock’s momentum appears sustainable. However, its 44.56 RSI and proximity to the 52-week high ($264.53) suggest caution for overbought conditions. Investors should monitor the DOE’s $3.4B nuclear fuel funding decision and Centrus’s ability to secure private capital for expansion. Meanwhile, Exxon Mobil’s -0.66% drag on the sector highlights the divergence between traditional energy and nuclear plays. For those aligned with the long-term nuclear thesis, LEU20250815C230 offers a high-leverage, high-liquidity vehicle to capitalize on the next leg of the rally.