Analyst Ratings January 23, 2026

Morgan Stanley Initiates Coverage of Mirion Technologies with a Cautious Outlook

Equity rating set to Equalweight with a price target acknowledging modest growth potential

By Maya Rios MIR
Morgan Stanley Initiates Coverage of Mirion Technologies with a Cautious Outlook
MIR

Morgan Stanley has commenced analysis on Mirion Technologies, assigning an Equalweight rating and a price objective of $29.00. The firm acknowledges Mirion’s solid position in radiation testing equipment across nuclear and medical markets, driven by long-term growth catalysts, while highlighting valuation concerns given current market expectations and stagnant order trends.

Key Points

  • Morgan Stanley initiates coverage of Mirion Technologies with an Equalweight rating and $29 price target.
  • Mirion is recognized for its leadership in radiation testing equipment, benefiting from growth in Nuclear and Medical markets.
  • U.S. nuclear capacity ambitions and AI data center power demands support long-term growth projections, but company order backlog remains flat.

Morgan Stanley has launched coverage of Mirion Technologies (NYSE: MIR), establishing an Equalweight rating along with a price target of $29.00. This valuation anticipates a moderate upside relative to Mirion’s prevailing stock price of $26.69.

The investment bank recognizes Mirion as a premier supplier specializing in radiation testing instrumentation and related solutions, particularly within the Nuclear and Medical sectors. These markets present attractive long-term growth opportunities that strategically position the company for future expansion. Over the past twelve months, Mirion has demonstrated revenue growth of approximately 7.81%.

In its assessment, Morgan Stanley emphasizes that evolving public attitudes combined with advancements in artificial intelligence have altered the long-term outlook for nuclear energy capacity. The United States now aims to increase nuclear capacity by a factor of four by the year 2050, reversing decades of minimal developments in this area.

Furthermore, the firm observes constructive signals in the nuclear infrastructure landscape, driven in part by the power demands of expanding AI data centers. The persistent energy supply constraint is projected to intensify as domestic reshoring accelerates, intensifying scrutiny on electricity pricing, a focus highlighted by recent attention from the Trump administration.

Despite these positive dynamics, Morgan Stanley advises caution given that these favorable assumptions are largely embedded in current consensus forecasts. Specifically, Mirion’s Nuclear division is projected to sustain an 8-9% organic growth rate during the 2026 to 2028 period. However, the company’s backlog and recent order intake have remained essentially flat for the last two years, challenging arguments for meaningful share price appreciation at its present valuation, which stands near 44 times anticipated earnings over the next twelve months.

Additional recent corporate developments include Mirion’s third-quarter earnings for 2025, which surpassed expectations with an adjusted earnings per share (EPS) of $0.12, above the forecast of $0.10. The quarter’s revenue reached $223.1 million, modestly exceeding projections.

Mirion also concluded the acquisition of Paragon Energy Solutions, a firm known for specialized engineered solutions in the nuclear power sector. This transaction, involving the purchase of all outstanding interests in WCI-Gigawatt Intermediate Holdco, LLC – Paragon’s indirect parent company – integrates Paragon’s capabilities into Mirion’s existing technology suite, bolstering its Nuclear & Safety Group offerings. While financial terms were not disclosed, this strategic move aims to fortify Mirion’s presence and competencies in the nuclear power industry. The acquisition followed Paragon’s divestiture from Windjammer Capital Investors.

These recent measures illustrate Mirion’s ongoing efforts to expand its footprint within the nuclear power sector through targeted inorganic growth and steady operational performance.

Risks

  • Current valuation assumes optimistic growth projections, limiting potential upside at a roughly 44x forward earnings multiple.
  • Stagnant backlog and order rates over the past two years suggest challenges in sustaining accelerated growth.
  • Electricity pricing concerns and reshoring energy demands could introduce market uncertainties impacting nuclear sector investments.

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