Cameco Corporation (CCO-T)

You have to really believe in uranium. Two pieces, with Westinghouse and mining. Cheap, on 2028 spot uranium prices, but you have to believe that those prices are on an upward march. He's constructive on nuclear as a whole, and CCO is the only way to express that view.

He doesn't own it because of valuation, better opportunities out there. If you like uranium, you really don't have any other choice.

Large share run up lately with a recent dip a good time to buy. Owns shares in portfolio. One of the World's largest Uranium reserve deposits. Benefiting from higher Uranium prices - expecting ~30% earnings growth. Rising Nuclear demand in North America will be good for the business. Recent M&A is proving to be fruitful as well. 

Uranium production very sensitive to Russian instability. As a result, high prices have been good for business. Would recommend holding for the long term. Stock full valued at this time. Would buy around $60/share. 

The question asked for his preference between Cameco and Denison. Uranium is up and momentum is with them but he wouldn't buy them. New nuclear projects are ten years away for development. Denison has a new mine in Saskatchewan but it is a 10 year project. Cameco trades at 30 times revenue.

One of the few he's held since 2021, with intermittent trading. He got back in after a consolidation in 2023. He's been living through the volatility without worrying too much. Trend is up, momentum is good, and the story is good. Huge demand on power grid coming from AI, and nuclear is the only solution. Yield is 0.2%.

He has the evidence to show that he's made more by picking entry and exit points in a trading range. He gives stocks the benefit of the doubt, and only sells if a rounding over continues. He's not concerned about the recent rounding over, as he can see the $60 support level on the chart.

For a direct investment, we would consider CCO fine and likely the safest. There are smaller exploration companies, developers and companies involved in building facilities. One can also invest in uranium ETFs that hold the metal directly. But we think CCO provides the easiest stock exposure for exposure to the sector. 
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Clear leader, demand is going up around the world. Generally, shift to cleaner energy over time. Oil prices have been moving higher based on geopolitical pressures and stronger demand than expected. Likes the space. Long-term contracts. High valuation right now, expensive. He owns just a smattering.

Rather than try to predict the future of commodity prices, which is difficult, his firm tries to prepare for various outcomes. Has done extremely well, driven by high price of the commodity, which is at highest level since 2007. One of the world's largest producers, operates globally. Also owns 49% of Westinghouse.

Likes its assets, which are in good geopolitical jurisdictions, a real advantage. Main competition is in Kazakhstan, which comes with complications.

However, current valuation of 40x PE is very expensive. Trailing earnings is 80x. No dividend. Take money off the table and invest where there's more upside.

One of the world's largest producers of uranium, essentially a pure play. One of a very small number of public companies in the space. Stable source. Uranium markets are very tight. Earnings up 134%, expected to rise again this year and next. Perfect fit for a momentum portfolio. Change in prevailing view on nuclear energy. Westinghouse acquisition is the icing on the cake. Yield is 0.2%.

They had a spectacular run for the last two years. He rode this, but now the whole world is on this. Shares are pulling back, because nuclear plants take a long, long time to complete. With the price of uranium, countries and companies need to build new mines and these take time. Buy on pullback but only partially. He expects lower prices ahead.

They had a spectacular run for the last two years. He rode this, but now the whole world is on this. Shares are pulling back, because nuclear plants take a long, long time to complete. With the price of uranium, countries and companies need to build new mines and these take time. Buy on pullback but only partially. He expects lower prices ahead.

A go-to name in the energy renaissance in NA. Expensive at 27x 2025 earnings. Modelling 40% EPS growth. A good name. Probably in Buy territory on the 200-day MA. A buy on fundamentals.

He feels it is too expensive and could easily come off even with increasing uranium prices. It could make $3 billion in the next 5 to 7 years but the market cap is 23 billion. Has 1 1/2 billion in assets now. He moved their uranium holdings to Denison for production in two years without the volatility of Cameco.

When Russia invaded Ukraine there were fears of an energy shortage and a drive for nuclear power, despite its long lead time to build these plants. That catalyst pushed CCO shares up; the easy money has been made.  Shares are too high now.