Cameco logged a -0.1% change during today's morning session, and is now trading at a price of $42.61 per share.
Cameco returned gains of 74.5% last year, with its stock price reaching a high of $46.95 and a low of $23.09. Over the same period, the stock outperformed the S&P 500 index by 54.1%. More recently, the company's 50-day average price was $43.31. Cameco Corporation provides uranium for the generation of electricity. The mid-cap Basic Materials company is headquartered in Saskatoon, Canada. Cameco has offered a 0.3% dividend yield over the last 12 months.
The Company's Revenues Are Declining:
| 2017 | 2018 | 2019 | 2020 | 2021 | 2022 | |
|---|---|---|---|---|---|---|
| Revenue (MM) | $2,157 | $2,092 | $1,863 | $1,800 | $1,475 | $1,868 |
| Revenue Growth | n/a | -3.02% | -10.94% | -3.37% | -18.06% | 26.65% |
| Operating Margins | -6% | 3% | 5% | -4% | -9% | 1% |
| Net Margins | -9% | 8% | 4% | -3% | -7% | 5% |
| Net Income (MM) | -$205 | $166 | $74 | -$53 | -$103 | $89 |
| Net Interest Expense (MM) | $72 | $72 | $62 | $66 | $39 | $39 |
| Depreciation & Amort. (MM) | $330 | $328 | $276 | $209 | $190 | $177 |
| Free Cash Flow (MM) | $596 | $668 | $527 | $57 | $458 | $305 |
| Current Ratio | 5.2 | 2.38 | 6.51 | 6.4 | 5.18 | 5.92 |
| Total Debt (MM) | $1,494 | $996 | $997 | $996 | $996 | $997 |
| Net Debt / EBITDA | 4.46 | 0.71 | -0.18 | 0.59 | -4.63 | -0.76 |
Cameco has declining revenues and no capital expenditures, consistently negative margins with a stable trend, and irregular cash flows. On the other hand, the company has low leverage working in its favor. Furthermore, Cameco has positive expected EPS Growth.
Cameco's P/B and P/E Ratios Are Higher Than Average:
Cameco has a trailing twelve month P/E ratio of 92.1, compared to an average of 16.53 for the Basic Materials sector. Based on its EPS guidance of $1.11, the company has a forward P/E ratio of 39.0. Furthermore, Cameco is likely overvalued compared to the book value of its equity, since its P/B ratio of 3.03 is higher than the sector average of 2.07.
Cameco Has an Analyst Consensus of Some Upside Potential:
The 8 analysts following Cameco have set target prices ranging from $43.01 to $56.18 per share, for an average of $51.83 with a buy rating. As of April 2023, the company is trading -16.4% away from its average target price, indicating that there is an analyst consensus of some upside potential.
The largest shareholder is FMR, LLC, whose 6% stake in the company is worth $1,168,305,028.
