Q: CCO Stares up sharply yesterday along with other Uranium Shares. Uranium hit $ 91.00 a pound recently.
Your thoughts ? Is URN.M the best play or NXE RAK
Your thoughts ? Is URN.M the best play or NXE RAK
5i Research Answer:
The sector spiked as the Dept. of Energy issued a request for proposals for uranium enrichment services to help establish a reliable domestic supply. We continue to like CCO as a 'safer' way to participate in the sector. Momentum is certainly very positive right now. NXE is riskier but we are comfortable with it for exposure as well. It is not yet producing so has negative cash flow, but has very good leverage if uranium keeps moving higher.