2 Canadian uranium stocks to power your portfolio

Follow us on Google News:
 2 Canadian uranium stocks to power your portfolio
Image source: © 2021 Kalkine Media Inc

Highlights

  • Uranium, a radioactive element, is known to be used in nuclear power plants to produce clean energy.
  • A uranium stock mentioned here delivered a return of roughly 165 per cent year-over-year (YoY).
  • A Canadian uranium firm noted a return on equity (ROE) of 21.79 per cent.

Uranium, a radioactive element, is known to be used in nuclear power plants to produce clean energy.

The COVID-19 pandemic led to a near-complete shutdown worldwide, which drastically impacted the supply chain and resulted in increased demand for materials like uranium in the global market.

Uranium prices are expected to hit an upward trajectory as the global supply chain continues to suffer. Moreover, the effects of climate change have shifted the world’s focus towards clean and renewable energy sources, which is likely to further push the demand for uranium.

Keeping this in mind, let us quickly glance at two TSX-listed uranium stocks.

Also read: 2 Canadian stocks to buy in an age of floods, fire & climate change

 

1.    Cameco Corporation (TSX: CCO)

One of the largest uranium producer in the world, Cameco Corporation is headquartered in Saskatoon, Saskatchewan.

The company claims that its flagship McArthur River mine, when operated at normal production level, accounts for around 50 per cent of output in normal market situations.

The uranium company saw its stock jump by roughly two per cent to close at a price of C$ 33.59 apiece on Thursday, November 18, having climbed by nearly 68 per cent in the last three months.

It also swelled by about 97 per cent on a year-to-date (YTD) basis and soared by more than 165 per cent over the past 12 months.

Cameco Corporation (TSX:CCO)’s performance as of November 18, 2021 

Image source: © 2021 Kalkine Media Inc

Cameco Corporation is expected to pay C$ 0.08 per share as an annual dividend on December 15 this year.

Also read: 2 Canadian small-cap stocks to buy under $10

2.    Mega Uranium Ltd (TSX: MGA)

Mega Uranium Ltd is a pure play uranium exploration firm with operations in Australia and Canada.

The Toronto-headquartered company saw its stock close at a value of C$ 0.32 apiece on November 18, having surged by almost 78 per cent in the last three months.

The uranium stock also delivered a return of roughly 167 per cent on a year-over-year (YoY) basis.

On the valuation side, Mega Uranium held a return on equity (ROE) of 21.79 per cent and a return on assets (ROA) of 21.48 per cent as of Friday morning, November 19.

Bottom line

At the 2021 United Nations Climate Change Conference recently held in Glasgow, Scotland, the leaders of many countries promised to work at becoming carbon neutral economy in the next decade or so.

In order to achieve that goal, most nations in general are expected to switch to the usage of clean energy sources and reduce their carbon emissions.

As uranium can help fulfil that purpose, companies focused in that area could pay a crucial part in future technologies and, in turn, note a surge in demand.

Disclaimer

The content, including but not limited to any articles, news, quotes, information, data, text, reports, ratings, opinions, images, photos, graphics, graphs, charts, animations and video (Content) is a service of Kalkine Media Incorporated (Kalkine Media), Business Number: 720744275BC0001 and is available for personal and non-commercial use only. The advice given by Kalkine Media through its Content is general information only and it does not take into account the user’s personal investment objectives, financial situation and specific needs. Users should make their own enquiries about any investment and Kalkine Media strongly suggests the users to seek advice from a financial adviser, stockbroker or other professional (including taxation and legal advice), as necessary. Kalkine Media is not registered as an investment adviser in Canada under either the provincial or territorial Securities Acts. Some of the Content on this website may be sponsored/non-sponsored, as applicable, however, on the date of publication of any such Content, none of the employees and/or associates of Kalkine Media hold positions in any of the stocks covered by Kalkine Media through its Content. Kalkine Media hereby disclaims any and all the liabilities to any user for any direct, indirect, implied, punitive, special, incidental or other consequential damages arising from any use of the Content on this website, which is provided without warranties. The views expressed in the Content by the guests, if any, are their own and do not necessarily represent the views or opinions of Kalkine Media. Some of the images/music that may be used in the Content are copyright to their respective owner(s). Kalkine Media does not claim ownership of any of the pictures displayed/music used in the Content unless stated otherwise. The images/music that may be used in the Content are taken from various sources on the internet, including paid subscriptions or are believed to be in public domain. We have used reasonable efforts to accredit the source wherever it was indicated or was found to be necessary.

Featured Articles

We use cookies to ensure that we give you the best experience on our website. If you continue to use this site we will assume that you are happy with it. OK