Cameco: Changing Direction, Complicating The Bull Case

Summary

Cameco is in the process of acquiring Westinghouse. This moves Cameco away from a large uranium pure-play company.

Cameco is diluting shareholders and taking on debt as it moves to become a fully integrated uranium company.

Yet, I remain hopeful that the bull case is intact. Looking for more investing ideas like this one? Get them exclusively at Deep Value Returns. Learn More » Liens Investment Thesis Cameco (NYSE: CCJ ) dilutes its shareholders and takes on debt. That’s the bad news. Bad news at a time, when investors believe that the uranium market is about to improve.Even as the uranium market is perceived to be on the cusp of fundamentally improving, Cameco is still unprofitable, so unless investors fully buy into the uranium thesis, this stock simply looks expensive.That being said, I believe that Cameco has a significant amount of operating leverage. Thus, when the uranium […]

Click here to view original web page at seekingalpha.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.