Crane’s Quiet Move Into Nuclear Could Make It a New Contender

The nuclear energy comeback story just added a new chapter—and it features a name you might not have had on your radar: Crane Company ($CR).

On Monday, Crane announced its $1 billion acquisition of the Precision Sensors & Instrumentation (PSI) business from Baker Hughes ($BKR). While that might sound like just another industrial reshuffle, it could actually be a strategic turning point for Crane, especially when viewed through the lens of the ongoing nuclear energy revival.

Why This Matters

Crane isn't a nuclear company by default. It’s a mid-sized industrial player focused on sensing, fluid handling, and aerospace technologies. In 2024, it generated $2.1 billion in revenue, with aerospace and electronics contributing about $900 million and the rest coming from its process flow technologies—of which just 10% had exposure to nuclear.

But with this PSI deal, Deutsche Bank estimates that nuclear will now account for 10% of Crane's total sales. That’s a significant jump for a company of its size—and it may shift how the market values the stock.

CEO Max Mitchell put it bluntly in a press release: PSI is “highly complementary” to Crane’s current offerings. And that seems to be the case. PSI’s capabilities in pressure and temperature sensing align well with what nuclear facilities require, especially as safety and precision become even more critical in next-gen reactor designs.

A Sector With Strong Tailwinds

Investors have been warming up to nuclear as data centers push electricity demand to new highs. Companies like Meta, Amazon, and Alphabet are chasing stable, carbon-free power sources—and nuclear checks both boxes.

Over the past 12 months, nuclear-related stocks like GE Vernova ($GEV), NuScale Power ($SMR), Constellation Energy ($CEG), and Cameco ($CCJ) have jumped by about 150% on average. That kind of momentum shows there’s investor appetite for plays in this space—especially if they’re seen as direct beneficiaries of the AI and clean energy boom.

NuScale is still unprofitable, but the others trade at an average forward PE of 55—more than double the S&P 500’s 23. Crane’s current PE is about 34. So, while not a bargain, it’s arguably still undervalued relative to pure-play nuclear stocks—especially now that its exposure has materially increased.

Stability Meets Opportunity

Crane’s stock has risen 31% over the past year—not bad for an industrial name that’s also benefiting from a strong commercial aerospace recovery (think GE Aerospace's 55% jump). But this PSI acquisition adds a new growth narrative, one that could help push valuations higher.

Deutsche Bank is bullish, rating the stock a “Buy” with a $226 target. That’s higher than the current analyst average of $198 (FactSet data). About 73% of analysts covering the stock now recommend it as a buy—well above the S&P 500 average of 55%.

Final Thoughts

Crane isn’t going to replace Constellation or Cameco as a core nuclear play. But for investors looking for a stable, profitable company with growing exposure to the nuclear theme, Crane may be worth a closer look. It’s quietly becoming a more serious player in the space—without the same level of volatility or hype as the newer entrants.

And sometimes, it’s the quieter names that turn out to be the real dark horses.