Mega Uranium (MGA.TO)

In effect, a holding company. Holds its own shares, but also owns shares of other uranium companies (in particular, NXE). He’s really bullish on the uranium space for the next 10 years. Sells at discount to sum of its parts, and each of those parts is going to become more valuable. Need patience, as market hates holding companies.

He’s been treated very well for 40 years by investing in hated holding companies whose commodities eventually come into favour. He’s personally overweight this name.

Thinks it has more room to go. Need to be patient with uranium stocks, as they've had a pretty good move through 2025. Five-year outlook for high-quality uranium stocks is very attractive. 

This name is one of the more attractive in the junior subset. A holding company, with a holding company discount -- but these discounts tend to work themselves out over time. Sum of the parts is worth more than the price of the whole. Yes, has assets in Canada, Australia, Argentina, Colombia, and Bolivia.

Loves the uranium space because stocks are down by 50% -- that's called a sale ;)  Long-term outlook for uranium is good, but people are bored with it. A sum-of-the-parts play. Stock is at a substantial discount to liquidation value, and he loves that.

Fairly substantial discount to market cap of its portfolio, and you get the company's own asset base for free. He's a really big fan of free. Yes, this is a way to buy NXE cheaper.

Price of uranium doesn't really need to go up, as it's above the incentive price. What's really changed in uranium is that it's gone from a spot market to a term market. Producers will now be able to sign agreements without being slaves to the spot market.

Functions almost as a closed end fund. Recent high prices have fallen, but will continue to hold. Value of parts of company exceeds the whole of the company. 

Attracted to the valuation and off-the-radar speculation. Whole sector is moving up and will continue to. Trades at a substantial discount to NAV. Successful management team. Likes the range of assets. 

Attractive to Uranium space at this time.
Current share price less than half of securities holdings in other Uranium companies.
Good time to buy shares.
NPV of portfolio and assets very discounted on a per share basis.

Very junior, although it has been around for a long time. It is basically a lot of hype and hope. They are doing some work in Australia, and virtually have no money. Nothing found to date has been feasible, that they can push it forward in a big way. He avoids companies like this like the plague. Doesn’t like companies that have no revenue.

Believes it is going to take a couple of years to resolve the uranium market. If he were going into uranium, his choice would be Uranium Participation (U-T). Mega Uranium will do well in an upturn in the uranium market.

He is a uranium bull and if the uranium price increases the tide will float all ships, but he would not own this. He believes uranium has to go up at some point because it currently costs more to produce than it sells for, however it likely won’t go up in 2015.