Today we take a look at BWX Technologies, a company that plays a crucial role in the emerging market of nuclear microreactors.

Nuclear energy on the rise: New opportunities for BWX Technologies The World Climate Conference in Dubai in early December marked a turning point in global energy policy. 22 countries, including the US, France, and Japan, have committed to expanding nuclear energy. The goal is to meet the world’s energy demand in a CO2-neutral and reliable manner. An important advantage for BWX Technologies: As a supplier of key nuclear components such as reactor pressure vessels and heat exchangers for mini power plants, the company is strategically positioned in this growing market.

Six-month chart for BWX Technologies BWX Technologies has fallen below the blue 50-day moving average. Can it be reclaimed? (Source: Stock Screener)

Growth markets in Europe and beyond One particularly interesting market for BWX Technologies is Europe. For example, Poland plans to build 79 new Small Modular Reactors (SMRs) in the next 15 years, relying on the BWRX-300 model from GE Hitachi. BWX Technologies plays a central role in this and supplies important components such as pressure vessels. These developments underline the key role that SMRs will play in the future of energy supply.

BWX Technologies: More than just components In addition to developing and supplying nuclear components, BWX Technologies also offers comprehensive services. This complete coverage of the value chain puts the company in a strong position to solidify its market leadership. The latest quarterly results, released on November 1, 2023, confirm this trend: Revenue growth accelerated by 13% year-over-year, mainly driven by demand for microreactors and nuclear fuel services.

Summary and Outlook The increasing demand for microreactors and the renewal of the US Navy’s nuclear fleet suggest continuous growth for BWX Technologies. Not only in the US, but also in Europe, new growth opportunities are opening up for the company. With global efforts to expand nuclear energy, BWX Technologies appears well-positioned to benefit from this trend.