Is Cameco Stock a Buy Now?
Cameco's (NYSE: CCJ) core business is producing what amounts to a commodity. That's an important part of the story when you examine this uranium miner. There's one small problem, however, when you consider the valuation being afforded to Cameco today and the typical things that happen in commodity markets.
According to Cameco's estimates, sometime around 2030, there will be more demand for uranium than there is supply of the nuclear fuel. Currently planned production expansions won't even be enough to maintain current uranium production levels. Roughly 15 years after the shortfall starts, the gap between supply and demand will be huge.
Image source: Getty Images.
Source Fool.com
Cameco Corp. Stock
€79.81
2.260%
The stock is one of the favorites of our community with 28 Buy predictions and 1 Sell predictions.
With a target price of 86 € there is a slightly positive potential of 7.76% for Cameco Corp. compared to the current price of 79.81 €.
