Assessing Cameco's Fundamentals Before Investing

By Susan Ramirez • Wednesday, October 16 15:10 • Permanent Link

With gains of 7.9%, Cameco was one of the winners on Wall Street today. Its shares are now trading at $55.79 and have logged a 0.0% daily outperformance of the S&P 500. Don't join the feeding frenzy before checking some basic facts about this stock:

Cameco has moved 36.5% over the last year, and the S&P 500 logged a change of 34.8%
CCJ has an average analyst rating of buy and is 0.85% away from its mean target price of $55.32 per share
Its trailing earnings per share (EPS) is $0.43
Cameco has a trailing 12 month Price to Earnings (P/E) ratio of 129.7 while the S&P 500 average is 29.3
Its forward earnings per share (EPS) is $1.16 and its forward P/E ratio is 48.1
The company has a Price to Book (P/B) ratio of 3.92 in contrast to the S&P 500's average ratio of 4.74
Cameco is part of the Basic Materials sector, which has an average P/E ratio of 24.53 and an average P/B of 2.64
CCJ has reported YOY quarterly earnings growth of 166.7% and gross profit margins of 0.3%
The company has a free cash flow of $222.31 Million, which refers to the total sum of all its inflows and outflows of cash over the last quarter
Cameco Corporation provides uranium for the generation of electricity. It operates through Uranium, Fuel Services, Westinghouse segments. The Uranium segment is involved in the exploration for, mining, and milling, purchase, and sale of uranium concentrate. The Fuel Services segment engages in the refining, conversion, and fabrication of uranium concentrate, as well as the purchase and sale of conversion services. This segment also produces CANDU reactor fuel bundles and other reactor components. The company offers nuclear fuel processing services. The Westinghouse segment engages in the manufacture of nuclear reactor technology original equipment. This segment provides products and services to commercial utilities and government agencies; and outage and maintenance services, engineering support, instrumentation and controls equipment, plant modification, and components and parts to nuclear reactors. It sells its uranium and fuel services to nuclear utilities in the Americas, Europe, and Asia. Cameco Corporation was incorporated in 1987 and is headquartered in Saskatoon, Canada.

The above analysis is intended for educational purposes only and was performed on the basis of publicly available data. It is not to be construed as a recommendation to buy or sell any security. Any buy, sell, or other recommendations mentioned in the article are direct quotations of consensus recommendations from the analysts covering the stock, and do not represent the opinions of Market Inference or its writers. Past performance, accounting data, and inferences about market position and corporate valuation are not reliable indicators of future price movements. Market Inference does not provide financial advice. Investors should conduct their own review and analysis of any company of interest before making an investment decision.