Did Cameco Corp.'s 15.5% Jump in November Confirm the Uranium Stock's Bottoming?
Investors in Cameco Corp. (NYSE: CCJ) were in for a huge surprise in November when shares of the world's largest uranium producer surged 15.5%, reversing all of its October losses and more.
While such a dramatic V-shaped bounce doesn't usually signal a bottom, Cameco's rally last month was fueled by two big announcements that have rekindled hopes of a recovery among investors in not just Cameco but other uranium stocks as well like Denison Mines (NYSEMKT: DNN). Denison shares spiked nearly 17% in November, thanks entirely to Cameco.
In late October, Cameco posted a surprisingly big loss for its third quarter and lowered its production outlook for the full year, confirming that the uranium markets continue to be in a dismal state. It didn't take much for investors to understand that Cameco's future hangs heavily on uranium prices, which is largely an uncontrollable factor.
Source: Fool.com
Cameco Corp. Stock
We see a rather positive sentiment for Cameco Corp. with 6 Buy predictions and 1 Sell predictions.
With a target price of 60 € there is a positive potential of 30.15% for Cameco Corp. compared to the current price of 46.1 €.
