Why Ur-Energy Stock Sank in November Despite Higher Uranium Prices
Uranium prices have almost single-handedly driven uranium stocks in recent weeks. Yet, despite uranium prices popping in the month of November, uranium stock Ur-Energy (NYSEMKT: URG) tumbled 14.4% in the month, according to data provided by S&P Global Market Intelligence. There's no respite in sight for Ur-Energy; the stock's down another 6% so far in December.
The only release from Ur-Energy in November was a quarterly earnings report. Ur-Energy has only one operational mine, the Lost Creek in Wyoming. The company, though, is barely producing any uranium right now as it requires higher uranium prices to be commercially viable. As of Oct. 27, Ur-Energy had 285,000 pounds of uranium inventory, but management stated it doesn't expect to sell any of that uranium over the next 12 months.
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Source Fool.com
