In this article, we will discuss the 5 Best Fusion Energy Development Stocks to Buy. For deeper discussion and analysis, read 7 Best Fusion Energy Development Stocks to Buy.
5. ATI Inc. (NYSE:ATI)
Short Percentage of Shares Outstanding: 2.84%
On June 11, ATI Inc. (NYSE:ATI) announced a new long-term strategic material supply agreement with BWX Technologies, reinforcing the companies’ longstanding partnership in support of the U.S. Naval Nuclear Propulsion Program. The agreement extends through fiscal year 2030 and strengthens ATI’s role as a key supplier of specialized materials for critical national defense applications.
Earlier in May, KeyBanc raised its price target on ATI Inc. (NYSE:ATI) to $175 from $167 while maintaining an Overweight rating on the shares. Following the company’s first-quarter results, discussions with management, and its own analysis, the firm increased its 2026 and 2027 estimates based on expectations for continued margin expansion. KeyBanc believes ATI’s exposure to the aerospace and defense sectors, its portfolio of high-margin specialty alloys, ongoing operational improvements, and disciplined use of free cash flow for share repurchases make the company an attractive long-term investment.
Founded in 1996 and headquartered in Dallas, Texas, ATI Inc. (NYSE:ATI) produces high-performance titanium, nickel, and refractory alloys essential for aerospace, defense, and medical markets. It engineers, processes, and melts specialized metals such as vanadium and high-purity refractory alloys that are specifically capable of withstanding the extreme heat and radiation required in fusion reactors.
4. Huntington Ingalls Industries, Inc. (NYSE:HII)
Short Percentage of Shares Outstanding: 2.20%
On June 22, Huntington Ingalls Industries, Inc. (NYSE:HII) announced that it has been awarded a $418 million contract to provide repair and maintenance services for shipboard-based elevators installed on U.S. Navy aircraft carriers and amphibious ships. The five-year, indefinite-delivery/indefinite-quantity contract was awarded by the Naval Sea Systems Command and will be executed by HII’s Mission Technologies division. Under the agreement, the company will deliver engineering, maintenance, and technical repair support for elevators, cargo handling equipment, and associated systems, helping enhance the operational readiness of the U.S. Navy fleet.
On May 18, Citi lowered its price target on Huntington Ingalls Industries, Inc. (NYSE:HII) to $405 from $441 while maintaining a Buy rating on the shares. The firm updated its outlook for the aerospace and defense sector, stating that it does not expect an immediate recovery in share prices without greater geopolitical stability in the Middle East. However, Citi believes the recent weakness has created attractive buying opportunities and expects aerospace stocks to recover first, followed by defense companies such as HII.
Huntington Ingalls Industries, Inc. (NYSE:HII) was established as an independent public company in 2011. Headquartered in Newport News, Virginia, it designs and builds nuclear-powered aircraft carriers and submarines. It produces and partners with commercial fusion developers, utilizing techniques like metal powder bed fusion and custom alloy development to produce highly complex, heavy-duty reactors and magnet components.
3. Honeywell International Inc. (NASDAQ:HON)
Short Percentage of Shares Outstanding: 2.18%
On June 30, Daiwa upgraded Honeywell International Inc. (NASDAQ:HON) to Outperform from Neutral and raised its price target to $255 from $240 following the successful completion of the company’s aerospace spin-off on June 29. The firm believes the separation leaves Honeywell with a more focused portfolio and stronger strategic positioning, creating greater leverage for operational execution and capital allocation. Daiwa also cited the remaining company’s solid earnings growth potential, arguing that its streamlined business mix should enable management to better capitalize on attractive opportunities across industrial automation, energy, and advanced technologies.
Earlier, on June 11, Barron’s identified Honeywell International Inc. (NASDAQ:HON) as an attractively valued investment, arguing that the market continues to value the company as a traditional conglomerate rather than recognizing the worth of its individual businesses. The publication stated that the corporate separation will provide investors with a pure-play aerospace company benefiting from high-margin aftermarket revenue and favorable long-term trends in commercial aviation and defense. Barron’s also suggested that Honeywell’s standalone automation business could command a higher valuation while highlighting the company’s ownership stake in quantum computing company Quantinuum as an additional source of upside that may not yet be fully reflected in the share price.
Founded in 1906 and headquartered in Charlotte, North Carolina, Honeywell International Inc. (NASDAQ:HON) is a diversified industrial technology company that develops software, aerospace systems, industrial automation solutions, and advanced building technologies. The company also supplies critical control systems, specialized cooling infrastructure, and advanced software used to support the operation and stability of next-generation nuclear fusion reactors.
2. Cummins Inc. (NYSE:CMI)
Short Percentage of Shares Outstanding: 1.49%
On June 17, Wells Fargo raised its price target for Cummins Inc. (NYSE:CMI) to $874 from $794 while maintaining an Overweight rating on the shares. The firm cited the company’s behind-the-meter prime power award with Circe Energy for high-performance computing data centers in West Texas involving its 78L and 60L engine platforms, a development that occurred more than a year ahead of expectations. Wells Fargo also highlighted additional growth opportunities in Alberta, underscoring increasing demand for Cummins’ power solutions supporting rapidly expanding data center infrastructure.
On June 1, Argus raised its price target on Cummins Inc. (NYSE:CMI) to $770 from $696 and reiterated a Buy rating. The firm believes Cummins is well-positioned to benefit from the favorable economics of natural gas relative to refined and distillate fuels, as well as increasingly stringent environmental regulations across the United States and international markets. Argus also expects the company to experience sustained long-term demand from truck and machinery manufacturers, supported in part by continued infrastructure development across emerging economies.
Founded in 1919 and headquartered in Columbus, Indiana, Cummins Inc. (NYSE:CMI) designs, manufactures, and services diesel, natural gas, electric, and hybrid powertrains, as well as hydrogen production and fuel cell systems. Its Accelera zero-emissions business provides essential large-scale power management, electrolyzers, and microgrid infrastructure required to support and commercialize future subatomic power plants.
1. Cameco Corporation (NYSE:CCJ)
Short Percentage of Shares Outstanding: 1.42%
On June 29, RBC Capital raised its price target on Cameco Corporation (NYSE:CCJ) to C$175 from C$160 while maintaining an Outperform rating on the shares. The firm believes Cameco is exceptionally well-positioned to benefit from strengthening uranium market fundamentals, supported by improving pricing dynamics and growing global demand for nuclear energy. RBC also pointed to robust purchasing activity from sovereign entities and electric utilities, contract pricing that remains stronger than publicly reported figures, and supportive government policies in both the United States and Canada aimed at accelerating nuclear reactor deployment. Together, these factors are expected to provide a favorable backdrop for sustained growth in the uranium market.
Earlier, on June 1, Cameco Corporation (NYSE:CCJ) and Orano Canada announced an agreement with Tepco Resources to acquire Tepco’s 5% participating interest in the Cigar Lake Joint Venture. Upon completion of the transaction, Cameco’s ownership stake in the high-grade Cigar Lake uranium mine in northern Saskatchewan will increase to approximately 57.4%, further strengthening its position in one of the world’s premier uranium-producing assets. Cameco’s portion of the acquisition is valued at approximately $115.75 million, subject to customary adjustments, with the transaction expected to close during the third quarter of 2026 following regulatory approvals and other standard closing conditions.
Founded in 1988 and headquartered in Saskatoon, Canada, Cameco Corporation (NYSE:CCJ) is one of the world’s largest uranium producers, exploring for, mining, and processing uranium used to generate carbon-free nuclear electricity. The company also owns a 49% interest in Global Laser Enrichment, which is developing third-generation laser enrichment technology capable of producing High-Assay Low-Enriched Uranium (HALEU) for advanced nuclear reactors.
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