This Hated Commodity Could Make Huge Gains In 2018

The result could be a massive bull market in uranium.

The Uranium Price and A Windfall for Uranium Producers

Shares of Uranium Participation Corp. (Toronto: U) (URPTF), which hold physical uranium for investment, soared in response. As you can see from the chart below, shares are up 30% in just a month and a half.

Kazakhstan’s state-owned uranium miner Kazatomprom cut production by 20% for the next three years.The result could be a massive boom for the uranium price.

Shares of uranium companies surged too. However, this is just the beginning. Analysts that cover the uranium sector believe these cuts could add $30 per pound to the price of uranium. That’s more than double the current spot price.

For uranium producers, this will be a windfall. Companies like Cameco and Ur-Energy Inc. (Toronto: URE) (URG) will see revenue and earnings rocket higher.

This appears to be great news for the uranium sector. It’s a story we’ll continue to watch in 2018.

1 2
View single page >> |
How did you like this article? Let us know so we can better customize your reading experience. Users' ratings are only visible to themselves.

Comments

Leave a comment to automatically be entered into our contest to win a free Echo Show.