Cameco Corporation (CCO.TO)

This is “the” direct play on uranium. What drives uranium market is what happens with the nuclear restarts in Japan. Also, the continual build in China and Russia and other emerging markets. Uranium spot prices are at around $40 with the long-term price at around $57. He prefers playing the commodity through Uranium Participation (U-T).

Likes that it is uniquely Canadian and a low cost producer in a long-term uranium environment. Over the years, they have had a cycle of brokers touting the stock with uranium prices moving up and the stock ultimately coming off. Better days are probably ahead and dividend payment is probably sustainable. He continues to watch this one for its long-term potential.

(Market Call Minute.) Largest uranium producer globally. Diversified in Canada and Kazakhstan.

Good for a 5-year investor. The one metal that has not recovered from the Japanese disaster. Purchasers are utilities and long term investors. Spot price is weekly. Sometimes there is only 1 trade. Change takes a long time. Does not know when Uranium will go up.

Loves Uranium and CCO. He has added over the last little while. You won’t see a real move in Uranium prices for 12-18 months. The most recent reason for decline in Uranium prices is Japan and they made the decision to re-start reactors. Either Uranium prices will go up or lights will go out.

(Top Pick May 4/12, Down 12.17%) The difficulty was that the uranium markets focused on Japan, but will be focused on Russia by end of year and whether they continue to push nuclear grade uranium into the market or not. The emerging markets will create a shortage over the next 2-3 years.

Has been some weakness in uranium prices recently. Doesn’t think the short-term outlook on supply/demand is sufficient to justify a purchase.

You have to have a long term focus. It will have periods of tremendous volatility. China and India will grow their need for energy in a big, big way. You need to be there as an investor. Buy on dips. Decommissioning of warheads in Russia is pretty much done so that is a reduction in supply. Understands Japan is getting ready to turn the switch back on.

Good news for uranium is that natural gas prices have started to pick up and it has been a colder than expected winter. If that continues, it could be positive for uranium. It seems that China is going full speed ahead with building nuclear power plants. The bottom line is that with cheap natural gas and cheap coal there is lots of competition. Cheaper to build natural gas powered and coal plants than it is uranium. He has no interest in this.

Doesn’t own any uranium in his portfolios. There are a lot of other low cost sources of energy and a lot of new technology in other areas of energy that brings in a lower cost supply. Also, uranium is very politically motivated. Hard to figure out how many new reactors China and Japan will be building and if there is the political will to build more nuclear power plants.

One of the largest uranium producers globally. She currently has no uranium exposure. There is no near term rush to get back into this one. Prices have been very slow to recover. Longer-term, uranium is positive because prices are quite depressed now.

Really likes this name. Fundamentals of uranium continue to improve post the Fukushima disaster, especially since the Chinas of the world have committed to building power plants. Canada has just made an agreement with India to ship them uranium.

Metals tend to do ok this time of year but they are not so much this year and that buy itself is interesting. A lot of the types of sectors that tend not to do well have been outperforming. This one is following that pattern. A very defined level of resistance at $23. Support is around $17. Right now it is moving sideways between $17 and $23.

Japan has been slow to restart reactors but she feels they will have to. Uranium has not done much and she sees no short term catalysts for it. For CCO, they have a big mine coming on stream in Cigar lake and investors will be watching this.

(A Top Pick April 13/12. Up 7.2%.) (See Top Picks.)