Are Yellow Cake Shares, YCA, Undervalued At the Current Uranium Price?

Key points:

There’s a reasonable argument that Yellow Cake is currently undervalued

There’s another, equally valid, that they’re not

Trading positions depend upon which argument is believed Yellow Cake (LON: YCA) shares are an oddity really. For the company itself, YCA, doesn’t particularly do anything. But then that’s rather the point of the company itself, not to do anything but simply to be.The background here is that yellow cake is the traded form of uranium. This isn’t what is put into reactors, it’s earlier in the process than that. It’s actually the output from the normal mining and processing system. This is then what is traded around within the nuclear business. It’s only once an actual reactor is ready for refueling that the yellow cake (uranium oxides) is sent through the isotopic separation plant to become actual reactor fuel. Different reactors require different styles of fuel, but all of […]

Click here to view original web page at www.asktraders.com

About the author: StockMan

Please remember:

The information provided here is for general knowledge and educational purposes only.
It is not intended to be a substitute for professional financial advice.
Every individual's financial situation is unique, and what works for one person may not work for another.
Before making any investment or financial decisions, you should always consult with a qualified financial advisor who understands your specific circumstances and goals.

Any information posted on the website has been prepared without taking into account your objectives, financial situation or needs and as such, should never be acted upon. Please be aware that any information posted on this site should not be considered to be financial advice and i am not a financial advisor.