Uranium Energy Corp.’s favorable position and the reasons for a target price raise on the company are covered in an H.C. Wainwright & Co. report. In a Jan. 26 research note, analyst Heiko Ihle reported that H.C. Wainwright & Co. increased its target price on Uranium Energy Corp. (UEC:NYSE AMERICAN) to $3.60 per share from $3.30. This compares to $1.64, the current per share price.
The higher target price, Ihle explained, resulted from the financial institution lowering its discount rate on Uranium Energy’s asset base (to 7.5% from 8%) due to various positive industry developments and raising its per-pound valuation of the company’s ex-Texas assets (to $3.50 from $3.15).
Also of note is that Uranium Energy "remains well positioned to leverage its low-cost in-situ recovery (ISR) operations to support a recently enacted bill that is set to create a U.S. uranium reserve during 2021," Ihle indicated.
He reiterated that the legislation appropriated […]
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