Cameco Corporation (CCO.TO)

Projects take a long time to build, super-long asset life. You need to have a really long time horizon for this one. Decades, not quarters. Positive interest in the space, which is positive for uranium and for CCO. 

Finally getting back to a pretty good baseline. Uranium industry will take a long time to ramp up. Cameco's mines in Canada are difficult to mine. Kazakhstan is now dominant supplier. Fully valued, at a 10-12 year high, take profits.

Chart shows a positive, ascending triangle pattern. A series of higher highs and higher lows. When you get a breakout to the upside, that's very positive. In fact, it's one of the most positive patterns in tech analysis. Positive tailwinds in the space will be tailwinds for the stock.

Early stages of bull market in Uranium.
Bell weather Uranium stock.
Institutional favorite for Uranium exposure.
Great stock for long term investors. 
Owns shares. 

He is a big fan of nuclear energy as a low carbon producer of energy. Cameco has had many difficulties getting uranium out of the ground and the stock has been a poor performer for a long time. It is the obvious play in Canada but it is hard to make money in this business.

Further room for growth in business.
Expecting further share price increases. 
Strong business that will continue to hold.
Very strong management team.
Uranium demand not going away. 
Diverse range of assets throughout the world. 

View is positive. He sold too early. If you own it now, hold it. If you don't own it already, you could still buy it. Outlook for nuclear power is strong, no carbon emissions. There are still 2 issues: 1) no one wants a facility in their backyard, and 2) problem of 1000-year storage time on spent fuel rods.

The long term uranium contracting prices are very robust. It is expensive at 35 X 2024 earnings but the growth rate is 56% so the price to growth is still good.

Ukraine war has brought about a complete 180 change in the uranium market. Prices have increased. Good things in store, should triple EPS this year. PE looking forward looks sensible. Westinghouse venture is smart.

Chart shows a very powerful pattern in technical analysis. Bumped up against resistance 3 times. Lows are going higher, which means that investors have been buying more aggressively each time. The leader, pushing higher. Fundamental reasons for that push. No dividend.

Two very different beasts in the same industry. NXE will probably have the next project built in Canada. CCO is the granddaddy of traditional mining. Buy NXE if you're looking for the rerate, but with it comes risk. Doesn't see an issue getting fully financed, but then comes execution. Track record for things going according to plan is not great for mining. 

CCO is your best way to get exposure to uranium, which is undergoing a renaissance. Predictability, bit of a dividend, real upside from today's uranium price.

Interesting, because the world is looking at nuclear power again, so Cameco can benefit. Cameco signed a deal with Brookfield to manage nuclear businesses--they're diversify, which is good. Will benefit from trend for smaller nuclear plants.

Uranium is a good transition fuel.
Believes business prospects good (short term).
Long term prospects for business not as good (renewables better option).

View on uranium has totally changed over the last couple of years. Energy transition is very difficult to do without something like uranium. Spot pricing probably less volatile than oil or gas. From time to time, disappoints on the quarter. Westinghouse servicing component gives them more vertical integration and cashflow stability, lowers risk profile. Go-to name, but valuation has come up so he's leery.