Here’s What Boosted Uranium Energy Corp’s (UEC) Rally in Q3

Riverwater Partners, an investment management company, released its “Small Cap Strategy” Q3 2025 investor letter. A copy of the letter can be downloaded here. The Small Cap Core Strategy reported solid results for the quarter but did not keep pace with the sharp rally, thus lagging the benchmark. The market’s preference for lower-quality companies persisted in the quarter and contributed significantly to the benchmark’s outperformance. On the other hand, the strategy remains focused on higher-quality companies with enduring fundamentals, consistent revenue, and a transparent path to profitability. The firm strongly believes that the strategy is well-positioned in the challenging quarter. In addition, you can check the fund’s top 5 holdings to determine its best picks for 2025.

In its third-quarter 2025 investor letter, Riverwater Partners Small Cap Strategy highlighted stocks such as Uranium Energy Corp. (AMEX:UEC). Uranium Energy Corp. (AMEX:UEC) engages in the exploration and processing of uranium and titanium concentrates properties. The one-month return for Uranium Energy Corp. (AMEX:UEC) was 8.38%, and its shares gained 64.59% over the last 52 weeks. On December 15, 2025, Uranium Energy Corp. (AMEX:UEC) stock closed at $12.41 per share, with a market capitalization of $6 billion.

Riverwater Partners Small Cap Strategy stated the following regarding Uranium Energy Corp. (AMEX:UEC) in its third quarter 2025 investor letter:

“Uranium Energy Corp. (AMEX:UEC) outperformed as investor sentiment rallied behind the nuclear energy renaissance and U.S. policy pivots favoring domestic uranium supply. The administration and Congress moved decisively to restrict uranium imports from Russia and designated the nuclear fuel chain as a strategic priority—sending a strong signal that the U.S. is committed to rebuilding its domestic uranium industry. At the same time, tight global supply conditions and rising demand pushed uranium spot prices higher (trading in the high $70s – low $80s per pound range). Elevated term contract pricing also improves revenue visibility across the sector. UEC’s assets—especially its U.S.-based in-situ recovery projects and its plans for a refining/conversion subsidiary—give it leveraged exposure to upward moves in uranium prices and to policy tailwinds. The combination of favorable regulation, improving fundamentals in the uranium market, and UEC’s operational optionality created a potent confluence of catalysts that drove its Q3 outperformance.”

In another article, we covered Uranium Energy Corp. (AMEX:UEC) and shared the list of stocks Jim Cramer discussed. In addition, please check out our hedge fund investor letters Q3 2025 page for more investor letters from hedge funds and other leading investors.

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Disclosure: None. This article is originally published at Insider Monkey.