Uranium ETF (URNJ) Hits New 52-Week High

For investors seeking momentum, Sprott Junior Uranium Miners ETF URNJ is probably on the radar. The fund just hit a 52-week high and has moved up 136.55% from its 52-week low price of $11.52 per share.But are there more gains in store for this ETF? Let us take a quick look at the fund and the near-term outlook on it to get a better idea of where it might be headed.URNJ in FocusThe underlying Nasdaq Sprott Junior Uranium Miners Index tracks the performance of companies that derive at least 50% of their revenues and assets from mining, exploration, development and production of uranium; earning uranium royalties and supplying uranium. The product charges 80 bps in annual fees (See: all Materials ETFs here).Why the Move?As the demand for AI soars and clean energy needs grow, tech giants are looking at nuclear power to fuel energy-hungry data centers. Data centers are energy-intensive, with AI applications consuming even more energy than traditional computing.The growing interest in nuclear energy and increasing AI-driven data centers are expected to boost the demand for uranium. Projections of uranium demand growing in the coming years are a key tailwind for the fund.More Gains Ahead?URNJ may continue its strong performance in the near term, with a positive weighted alpha of 53.55 (as of Barchart.com), which gives cues of a further rally.Boost Your Portfolio with Our Top ETF InsightsZacks' exclusive Fund Newsletter delivers actionable information, top news and analysis, as well as top-performing ETFs, straight to your inbox every week.Don’t miss out on this valuable resource. It’s free!Get it now >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Sprott Junior Uranium Miners ETF (URNJ): ETF Research ReportsThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks