Industry Overview - Attitudes toward nuclear energy have fluctuated, particularly after the 2011 Fukushima disaster, leading to reduced investments and plans for new nuclear facilities [1][10] - Recently, there has been a resurgence of interest in nuclear energy as countries aim for net-zero emissions, positioning nuclear as a cleaner and reliable energy source [2] Cameco's Position - Cameco, one of the largest uranium producers globally, is strategically positioned to benefit from the renewed demand for uranium [3] - The company operates significant mining operations in Saskatchewan and the U.S., and holds a 40% interest in a joint venture with Kazatomprom in Kazakhstan [6] - Cameco produced an estimated 23.1 million pounds of uranium last year and has commitments for 29 million pounds per year through 2028 [7][13] Market Dynamics - The demand for nuclear energy is expected to increase, with initiatives like the Declaration to Triple Nuclear Energy aiming to triple nuclear capacity by 2050, supported by major financial institutions [5] - The U.S. Nuclear Regulatory Commission is exploring the possibility of bringing retired nuclear facilities back online, which could further boost demand [8] Financial Performance - Cameco's recent third-quarter earnings were disappointing, with a net loss and a high valuation at nearly 262 times its trailing-12-month earnings [11] - Despite the high valuation, forecasts suggest uranium prices could average around $110 per pound this year, driven by demand outpacing supply [12] Long-term Outlook - The International Atomic Energy Agency (IAEA) projects that nuclear capacity could increase by as much as 2.5 times by 2050, indicating strong long-term demand for nuclear energy [12] - Given the solid foundation and commitments from buyers, Cameco is viewed as a stock to hold for long-term benefits from shifting trends in the energy sector [13]

Group 1 - Cameco's stock closed at $49.85, reflecting a -1.01% change from the previous session, underperforming compared to the S&P 500's gain of 0.03% [1] - Over the past month, Cameco's shares have increased by 3.2%, which is lower than the Basic Materials sector's gain of 8.14% and the S&P 500's gain of 4.19% [1] Group 2 - The upcoming earnings report for Cameco is scheduled for February 20, 2025, with expected earnings of $0.23 per share, indicating a year-over-year growth of 53.33% [2] - Revenue is anticipated to be $735.56 million, reflecting an 18.64% increase from the same quarter last year [2] Group 3 - Recent changes to analyst estimates for Cameco are important as they reflect short-term business trends, with positive revisions indicating optimism about the company's outlook [3] - The Zacks Rank system, which incorporates estimate changes, provides a practical rating system for stocks [4] Group 4 - The Zacks Rank system ranges from 1 (Strong Buy) to 5 (Strong Sell), with 1 stocks averaging an annual return of +25% since 1988 [5] - Currently, Cameco holds a Zacks Rank of 3 (Hold), with a 3.51% decrease in the consensus EPS estimate over the last 30 days [5] Group 5 - Cameco's Forward P/E ratio is 39.84, which is significantly higher than the industry average Forward P/E of 12.65 [6] - The Mining - Miscellaneous industry, part of the Basic Materials sector, has a Zacks Industry Rank of 145, placing it in the bottom 43% of over 250 industries [6] Group 6 - The Zacks Industry Rank measures the strength of industry groups based on the average Zacks Rank of individual stocks, with top-rated industries outperforming the bottom half by a factor of 2 to 1 [7]

Group 1 - Cameco's stock closed at $50.36, reflecting a +0.86% increase, outperforming the S&P 500's gain of 0.67% [1] - Over the past month, Cameco's shares have increased by 1.4%, while the Basic Materials sector gained 6.91% and the S&P 500 gained 2.07% [1] Group 2 - Cameco is expected to release earnings on February 20, 2025, with projected earnings per share (EPS) of $0.23, indicating a 53.33% increase year-over-year [2] - Revenue is projected to be $735.56 million, reflecting an 18.64% rise from the same quarter last year [2] Group 3 - Recent modifications to analyst estimates for Cameco indicate a favorable outlook on the company's business health and profitability [3] - The Zacks Rank system, which includes estimate changes, has a history of outperforming, with 1 stocks returning an average annual gain of +25% since 1988 [4][5] Group 4 - Cameco is currently trading at a Forward P/E ratio of 39.5, significantly higher than the industry average of 12.11, indicating a premium valuation [6] - The Mining - Miscellaneous industry, part of the Basic Materials sector, holds a Zacks Industry Rank of 143, placing it in the bottom 44% of over 250 industries [6][7]

Company Performance - Cameco's stock closed at $49.44, down 1.71% from the previous trading day, underperforming the S&P 500's loss of 0.51% [1] - Over the last month, Cameco's shares decreased by 3.57%, while the Basic Materials sector gained 4.34% and the S&P 500 gained 2.87% [1] Upcoming Earnings - Cameco's earnings report is scheduled for February 20, 2025, with projected earnings per share (EPS) of $0.18, representing a 20% increase year-over-year [2] - Revenue is estimated to be $735.56 million, indicating an 18.64% increase compared to the same quarter last year [2] Analyst Estimates - Recent adjustments to analyst estimates for Cameco reflect changing business trends, with positive revisions indicating analyst optimism about the company's profitability [3] - The Zacks Consensus EPS estimate has decreased by 5.11% in the past month, and Cameco currently holds a Zacks Rank of 3 (Hold) [5] Valuation Metrics - Cameco's Forward P/E ratio is 39.79, which is significantly higher than the industry average Forward P/E of 11.26 [6] - The Mining - Miscellaneous industry, part of the Basic Materials sector, has a Zacks Industry Rank of 140, placing it in the bottom 45% of over 250 industries [6] Industry Insights - The Zacks Industry Rank measures the strength of industry groups based on the average Zacks Rank of individual stocks, with the top 50% outperforming the bottom half by a factor of 2 to 1 [7]

China's DeepSeek artificial intelligence is helping to torpedo uranium stocks.Monday opened bleakly for uranium mining stocks. Over the weekend, Chinese artificial intelligence (AI) start-up DeepSeek announced it has developed a large language model by the same name that took just two months and cost only $6 million to develop -- yet somehow seems to be outperforming AI developed by ChatGPT over much more time and at far greater cost.The news seems to imply that Western AI companies have been wasting their ...

Investment Rating - The report does not explicitly mention the investment rating for Cameco Corporation [1][2][3] Core Views - The global nuclear power industry is expected to grow rapidly, driven by both the US and China, with the US focusing on nuclear power as a solution for AI energy demands and China accelerating nuclear power projects [7] - Uranium supply is a critical factor in the industry, with increasing demand for nuclear fuel expected to drive uranium prices higher [7] - The global nuclear power industry is gaining renewed attention, with 22 countries signing the "Triple Nuclear Energy Declaration" at COP28, aiming to triple global nuclear power capacity by 2050 [11] - Developing countries are leading the increase in global nuclear power capacity, with new nuclear projects in countries like Egypt, Turkey, and Bangladesh [11] - China's nuclear power capacity is relatively low, with significant growth potential as it aims to replace coal-fired power with cleaner energy sources, particularly nuclear power [12] - China has accelerated its nuclear power project approvals, with 11 new reactors approved in 2024, far exceeding previous expectations [15] - The US faces both challenges and opportunities in nuclear power, with aging infrastructure but also plans to increase nuclear capacity to meet net-zero emissions targets by 2050 [21] - Small modular reactors (SMRs) are expanding the application scenarios for nuclear power, increasing demand for nuclear fuel [23] - Tech giants like Microsoft and Amazon are investing in nuclear power to meet the energy demands of AI and data centers [27] - Data center power demand in the US is expected to grow significantly, with nuclear power being a key solution to meet this demand [30] Industry Overview - Global nuclear power capacity is expected to triple by 2050, driven by the "Triple Nuclear Energy Declaration" and increasing demand for clean energy [11] - Developing countries are leading the growth in nuclear power capacity, with new projects in countries like Egypt, Turkey, and Bangladesh [11] - China's nuclear power capacity is relatively low, with significant growth potential as it aims to replace coal-fired power with cleaner energy sources [12] - China has accelerated its nuclear power project approvals, with 11 new reactors approved in 2024, far exceeding previous expectations [15] - The US faces challenges with aging nuclear infrastructure but also opportunities with plans to increase nuclear capacity to meet net-zero emissions targets by 2050 [21] - Small modular reactors (SMRs) are expanding the application scenarios for nuclear power, increasing demand for nuclear fuel [23] - Tech giants like Microsoft and Amazon are investing in nuclear power to meet the energy demands of AI and data centers [27] - Data center power demand in the US is expected to grow significantly, with nuclear power being a key solution to meet this demand [30] Company Overview - Cameco Corporation is the world's largest uranium resource company, with operations spanning exploration, mining, refining, and nuclear fuel services [45] - The company has a significant presence in the global uranium market, with operations in Canada, Kazakhstan, and the US [45] - Cameco's uranium resource business is its primary revenue driver, with uranium prices significantly impacting its financial performance [52] - The company owns several high-grade uranium mines, including McArthur River/Key Lake and Cigar Lake, which are among the largest and highest-grade uranium mines in the world [60] - Cameco is also involved in nuclear fuel services, including uranium refining, conversion, and fuel manufacturing, with a global market share of around 21% in conversion capacity [66] - The company has expanded its presence in the nuclear power industry through strategic investments, including a 49% stake in Westinghouse Electric and a 49% stake in Global Laser Enrichment (GLE) [67][70] - Cameco's uranium resource business is expected to benefit from rising uranium prices and increasing global demand for nuclear fuel, with revenue projected to grow significantly from 2024 to 2026 [74] - The company's nuclear fuel services business is also expected to grow, driven by increasing demand for nuclear fuel and higher prices for uranium products [78] Valuation - Cameco is expected to see significant revenue and profit growth from 2024 to 2026, driven by rising uranium prices and increasing demand for nuclear fuel [81] - The company's revenue is projected to reach CAD 2.94 billion in 2024, CAD 3.36 billion in 2025, and CAD 3.74 billion in 2026, with net income expected to grow to CAD 370 million, CAD 670 million, and CAD 850 million respectively [81] - Cameco's strong position in the global uranium market, combined with its strategic investments in Westinghouse and GLE, is expected to drive long-term growth and solidify its leadership in the nuclear power industry [81]

Retirement Planning - The Retirement Forum offers actionable ideas, a high-yield safe retirement portfolio, and macroeconomic outlooks to help maximize capital and income [1] - The forum searches the entire market to help maximize returns [1] Cameco Corporation (CCJ) - Cameco Corporation is the largest publicly traded uranium company globally with a market cap exceeding $20 billion [2] - Nuclear power has substantial potential as reliable base load power [2] Investment Strategy - The Value Portfolio specializes in building retirement portfolios using a fact-based research strategy [2] - The strategy includes extensive readings of 10Ks, analyst commentary, market reports, and investor presentations [2] - The portfolio invests real money in the stocks it recommends [2]

Nuclear Energy Industry Overview - Nuclear energy is positioned as a key solution for a low-carbon, resilient energy future, driven by global energy demands and geopolitical tensions [3][4] - The industry includes companies involved in uranium mining, nuclear reactor construction, electricity generation, and related technologies and services [3] - The rise of artificial intelligence and data centers has significantly increased the demand for reliable, emissions-free energy, further boosting the nuclear energy sector [4] Cameco (CCJ) Analysis - Cameco is one of the world's largest uranium producers, with assets across three continents, positioning it to benefit from growing nuclear energy demand [5] - The CEO highlighted increasing government, industry, and public support for nuclear energy, with utilities and industrial users extending financial backing for clean, reliable nuclear power [6] - Despite positive long-term trends, the near-term EPS outlook for Cameco remains unfavorable, with analysts cutting expectations across the board [6] - The stock currently holds a Zacks Rank 3 (Hold) [6] Constellation Energy (CEG) Analysis - Constellation Energy is the largest producer of clean, emissions-free energy in the US and a leading supplier of energy products and services [8] - The company has partnered with Microsoft in a 20-year agreement to restart the Crane Clean Energy Center, emphasizing the importance of AI and data economy to national security and economic competitiveness [9] - The near-term outlook for CEG has improved, with the stock maintaining a favorable Zacks Rank 2 (Buy) [10] - Consensus estimates for CEG have shown upward revisions, with Q1 estimates increasing by 9.46% and full-year estimates rising by 1.96% to 2.12% over the past 60 days [11] Thematic Investing Insights - Thematic investing allows investors to align portfolios with emerging trends, combining long-term and short-term themes to identify leading companies in shifting markets [12] - Stocks within thematic screens serve as a starting point for analysis, with tools like the Zacks Rank and detailed reports aiding in performance and potential evaluation [13]

Stock Performance - Cameco (CCJ) closed at $51 38, down 0 39% from the previous session [1] - The stock underperformed the S&P 500 (up 0 16%), Dow (up 0 25%), and Nasdaq (down 0 06%) [1] - Over the last month, Cameco shares decreased by 8 58%, outperforming the Basic Materials sector (down 10 34%) but underperforming the S&P 500 (down 2 8%) [1] Earnings Expectations - Cameco is expected to report EPS of $0 17, up 13 33% year-over-year [2] - Revenue is projected at $735 56 million, an 18 64% increase compared to the same quarter last year [2] Analyst Estimates and Revisions - Positive revisions to analyst estimates indicate optimism about the company's business outlook [3] - Empirical research shows a direct correlation between estimate revisions and stock price performance [4] - The Zacks Consensus EPS estimate for Cameco has decreased by 3 75% in the past month [5] Valuation and Industry Ranking - Cameco is trading at a Forward P/E ratio of 40 23, a premium compared to the industry average of 12 51 [6] - The Mining - Miscellaneous industry has a Zacks Industry Rank of 145, placing it in the bottom 43% of all industries [6] - The Zacks Industry Rank measures the strength of industry groups based on the average Zacks Rank of individual stocks [7]

Nuclear Energy Momentum - Nuclear energy is gaining momentum as a solution for rising energy demand and reducing carbon footprint [1] - AI's electricity consumption could increase from 8 terawatt-hours in 2024 to 652 terawatt-hours by 2030, creating a need for nuclear power [2] - 63 nuclear reactors are currently under construction, and demand for nuclear could grow by 2.5 times its current capacity by 2050 [5] Cameco (CCJ) - Cameco is a leading uranium producer, accounting for approximately 18% of global uranium supply [4] - The company has controlling interests in uranium mines in Canada, the United States, and Kazakhstan [4] - Analysts estimate Cameco's revenue will hit $2.3 billion in 2025, with potential for long-term growth [6][7] Southern Company (SO) - Southern Company is one of the largest energy companies in the United States, serving over 9 million customers [8] - The company operates eight nuclear power units across three plants, with recent investments in new nuclear construction [9] - Southern Company offers a 3.5% dividend yield and is positioned to benefit from AI-driven energy demand [10] GE Vernova (GEV) - GE Vernova is a diversified clean energy technology company, focusing on nuclear, wind, and gas turbines [11] - The company anticipates high single-digit revenue growth through 2028 and is investing $5 billion in R&D by 2028 [12][13] - Analysts estimate GE Vernova will grow earnings by an average of 46% annually over the next couple of years [14]