From MoneyWeek · · 1m
Nuclear Stocks Drop as AI Costs Fall
Nuclear stocks plunge as AI's cheap intelligence demands reliable power.
In brief
Nuclear stocks plunge as AI's cheap intelligence demands reliable power. Nuclear stocks trade below cash due to AI-driven demand for reliable power. Originally reported by MoneyWeek.
Nuclear stocks drop
Nuclear stocks have seen their steepest decline in five years.
AI financing costs rise
Anthropic pays Blackstone a 10% coupon on a $60 billion chip financing.
AI cost curve steepens
AI has fallen some 200,000 times in barely five years.
Power becomes cheaper
Over 80 years, power has become roughly 50 times cheaper.
Cheap intelligence expands demand
Cheap intelligence will explode power bills rather than shrink them.
Uranium demand inelastic
Uranium demand is price-inelastic with no switching off when prices rise.
Nuclear stocks below cash
Lightbridge, ASP Isotopes and Fermi America trade below cash on balance sheets.
Margin calls trigger sell-off
Retail trading platforms demand 110% collateral on positions.
Nuclear stocks at 2009 levels
Nuclear stocks trade below cash with no reckless cash burning.
What matters most
Nuclear stocks trade below cash due to AI-driven demand for reliable power.
