# Uranium



## davext (Apr 11, 2010)

Anyone investing in uranium? I probably missed the boat on this already but there still might be some upside. 

I was thinking of Uranium One UUU.TO or Cameco CCO.TO. 

Cameco is a larger company with a dividend. Perhaps I can buy it on a dip.

What does everyone else think?


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## furgy (Apr 20, 2009)

I,ve been in and out of UUU five times now and made money every time , it has been a traders dream , very volatile.

At some point , it will make for a good long term hold , as will most uranium producers , just not sure when it will happen.

UUU is currently in the early stages of a takeover deal where the Russians will take control of UUU , if the minority shareholders vote yes for the deal , if that happens , UUU will pay all minority shareholders a "special dividend" of $1.06 , a substantial premium when you consider their price of $2.88 or so.

A lot of people think that Russian ownership will not be good for UUU so it's hard to say which way the vote will go.

If you want in on the dividend , buy now , but if the vote goes no , there may be a substantial drop in share price , even if it goes yes , it may still drop by the dividend amount after the ex-div date , so it may be wise to collect the dividend and sell.

I currently hold Paladin energy (PDN) , which just signed a Memorandum of Understanding with the Chinese for long term uranium sales , I think they have the best upside potential right now if your looking to get into Uranium.

There are also funds that hold the actual U308 , their sources are finite tho , I would imagine , so long term , I would be wary of them.

I think there will be a huge upside in the uranium mining industry as new reactors come on line , they like to have long term contracts in place beforehand , but until that happens and the spot price improves , they are great trading vehicles.

Long term you will do well also , just how long you will have to wait tho , is anyones guess , Cameco would be a good bet for longer term in my opinion , as Canada produces a large portion of the worlds Uranium supply and I see the Americans wanting that soon rather than buying from the Russians , but that's just my opinion.


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## Belguy (May 24, 2010)

Information re proposed Global X Uranium ETF:

http://etfdailynews.com/blog/2010/0...-more-details-for-their-proposed-uranium-etf/


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## davext (Apr 11, 2010)

Thanks for the detailed insight!


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## rengerober (Feb 5, 2010)

Anyone knows the target price for UUU?


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## furgy (Apr 20, 2009)

Target price for UUU is over $4 , currently the yes vote is about 90% sure , so the $1.06 dividend alone is worth buying it right now.

I just bought more yesterday , my plan is to get out after the dividend , collect the dividend and hope the share price remains at around $4 long enough to get a decent gain as well.

I'll let you know how it works out.

I hold Paladin energy as well , their agreement with China will be good for their share price , they will be the next big takeover target in the uranium industry in my opinion.


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## davext (Apr 11, 2010)

How do you get out of UUU in time before the stock drops? It seems to me that there are probably trading machines that will automatically sell off UUU. Is there a after market/pre market for this? Seems like that always sets the price and doesn't give you a chance after the ex-date.


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## alphatrader2000 (Aug 18, 2010)

davext said:


> Anyone investing in uranium? I probably missed the boat on this already but there still might be some upside.
> 
> I was thinking of Uranium One UUU.TO or Cameco CCO.TO.
> 
> ...


If you decide on UUU.TO then you may choose to buy the debenture on UUU, which trades under the ticker UUU.DB and UUU.DB.A.  less volatitle on the downside. Having said that it is conceivable they will be taken out by the russian at PAR.


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## furgy (Apr 20, 2009)

Less volatile for downside , but less upside potential as well.

They are unsecured and would have to be converted by the ex-div date to collect the dividend , depending on the conversion rate , it could reduce the profit.

I plan on selling as soon as the dividend is issued and ex-div date is announced , there are alway those who feel that this is a good move for UUU and will hang on for the longer term and bigger gains , only to sell a little later when they see the share price dropping fast , that usually keeps the price up temporarily at least.

Happens all the time in biotech stocks , which I have been trading frequently lately.

But even without any gain in share price , the dividend looks to be close to 30%.

It is still risky tho , if the vote goes no , I will have to hold this until share price recovers and at least break even.

It's a risk I'm willing to take at this point.


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## davext (Apr 11, 2010)

Uranium prices have been going up week to week. Thanks for the advice on UUU!


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## furgy (Apr 20, 2009)

I would expect the bull run in uranium to continue for some time yet most uranium companies have done well the last month or more.

I sold UUU and bought PDN instead , I was a little about the Russian takeover of UUU , but apparently others have not been , it has done very well , and if they ever announce the $1.06 dividend , that will be a real bonus , although I would expect sp to drop by close to the div amount after the ex-div date.

UEC has done extremely well also.

I'm thinking of buying some of the smaller players like FIS , DIT or others , I think they will have some tremendous upside and make great takeover targets.

FIS has some major backing from Korea.


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## davext (Apr 11, 2010)

furgy said:


> I would expect the bull run in uranium to continue for some time yet most uranium companies have done well the last month or more.
> 
> I sold UUU and bought PDN instead , I was a little about the Russian takeover of UUU , but apparently others have not been , it has done very well , and if they ever announce the $1.06 dividend , that will be a real bonus , although I would expect sp to drop by close to the div amount after the ex-div date.
> 
> ...


For some of players that are of the same size as UUU, is there any point in buying those as well or just sticking to what you have since the price move is mainly due to the underlying Uranium price?


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## furgy (Apr 20, 2009)

I think all uranium producers will continue in the uptrend for a while yet , there is more room in some of the juniors tho for appreciation , just due to lower sp.

I would keep what I have and possibly buy some of the juniors.

The price move by most uranium companies lately is due to the rise in U308 , the upside in UUU is due to spot price as well as the takeover hype and the expectation of a $1.06 special dividend.

A word of caution on UUU , in my opinion , the $1.06 special dividend is already mostly priced in , so sp should drop by close to that amount after ex-div date , if history is any indicator.

The only other worry that I would have owning UUU , is that if for any reason the deal doesn't go thru , (and their is opposition by the republicans in the US) , and the dividend is not announced , sp will be back around $2.50 in a hurry , that's about their current NAV without the buyout.

That's why I dumped UUU (at a 20% gain) , and bought PDN , other than the risk they are pretty equal peers , I see less risk and more upside to PDN.

I was looking at UEC , another good one , but it's had too much upside for me to buy in now , too expensive.


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## davext (Apr 11, 2010)

What I have trouble understanding is how do I know that this dividend is baked in?

I bought this stock a while ago and bought it a couple more times after the shareholders had agreed to the deal. If I recall correctly, the stock have very little movement on the day the deal was approved. Since the voting result was not known prior to it happening, I don't think the full price of the dividend could have been baked into the sp at that point. Subsequently, the sp actually went down a bit which is when I added more shares.

They are supposed to announce when the dividend will be paid out early November. If the price of the stock goes up after the announcement, then my theory might be correct. I was hoping to wait till then to sell.

I'm at 46% gain right now so I'd consider taking some profits now too. 


For the juniors, I looked at the run ups as well today and they seemed pretty steep so I might wait and see first. Thanks for the tips!


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## Assetologist (Apr 19, 2009)

davext said:


> What I have trouble understanding is how do I know that this dividend is baked in?
> 
> I bought this stock a while ago and bought it a couple more times after the shareholders had agreed to the deal. If I recall correctly, the stock have very little movement on the day the deal was approved. Since the voting result was not known prior to it happening, I don't think the full price of the dividend could have been baked into the sp at that point. Subsequently, the sp actually went down a bit which is when I added more shares.
> 
> ...



Consider taking some off the table now. I bought UUU at $0.70 and sold 1/5th to get my initial investment back in less than 1 year.

I love playing with house money - you can't lose.

Good Luck


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## furgy (Apr 20, 2009)

davext said:


> Subsequently, the sp actually went down a bit which is when I added more shares.


That was a good move.

The reason the price went down in September was due to a major selloff by insiders , which in my opinion is another reason to be wary of UUU.

If they were so sure the deal would go thru and a dividend paid , why would all the insiders sell and not hold for the div?

You could be right and hold and collect div , but if anything goes wrong , UUU could be back to $2.50 before you even get your shares to market , this is just a possibility.

But hey , like I always say , more risk equals more reward , good luck , I hope you do well on it.


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## furgy (Apr 20, 2009)

Assetologist said:


> Consider taking some off the table now. I bought UUU at $0.70 and sold 1/5th to get my initial investment back in less than 1 year.Good Luck


I don't see how you could have done that , the 52 week low was $1.97.

UUU hasn't been anywhere near .70 cents since the bottom in 2008.


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## davext (Apr 11, 2010)

furgy said:


> That was a good move.
> 
> If they were so sure the deal would go thru and a dividend paid , why would all the insiders sell and not hold for the div?
> 
> ...


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## financeguru (Jan 18, 2010)

Congratulations for all those who presevered.

i have a 82% return on UUU YTD - bought it @ 2.75 and been holding on for quite a while...good to see one's faith repaid. I'm still holding on...but probably opportune time to lock in some gains, it jumped another 7% today.


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## Assetologist (Apr 19, 2009)

furgy said:


> I don't see how you could have done that , the 52 week low was $1.97.
> 
> UUU hasn't been anywhere near .70 cents since the bottom in 2008.



Sorry, my purchase date was 2008-10-27 and I took most of my initial investment back within 1 year of purchase date. 

I _try_ to buy most of my straw hats in the winter.

My thoughts on UUU currently center around where it will be in the next 3-5 years - can it get back to circa $15 again?

Uranium is an established and growing energy source and ARMZ/UUU will be the 5th largest U308 producer in the world.


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## humble_pie (Jun 7, 2009)

it's great how uranium has performed for those who kept the faith.

i have a diagonal call spread in cameco, specifically in ccj US - double the contracts that i usually buy so for me it's a substantial option position - that i put on in the dark days of february & april 2010. It can run on for another 15 months.

if i close it out now it'll have a return of 25.81%. Returns will flatten if i continue to work it to maturity, but it's still likely to yield at least 15% per annum.

what a pleasant dilemma. I also have UUU shares but am boxed in with short calls. The market is betting on the dividend announcement so option prices have gone haywire. However, even if stk falls to 2.50 i'd still be a happy long camper in UUU.


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## Taxsaver (Jun 7, 2009)

davext said:


> Anyone investing in uranium? QUOTE]
> 
> 
> I'm not a terrorist, so I'm not interested.


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## humble_pie (Jun 7, 2009)

i'm unable to find any current news on the 4 US republican congressmen who are seeking to block rosatom's 51% purchase of UUU because of uranium one's mine in wyoming.

it's fascinating how closely knit the planet is.

will washington pull a potash & refuse to sell wyoming uranium to the russians. To what extent is this part of UUU's share price drop this week. Think i'd say Yes. And A Lot.


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## furgy (Apr 20, 2009)

I got out of UUU for just that reason and bought PDN , peer company with the same potential but a lot less risk.

I have a feeling that the sale will be approved eventually , but just the possibility of nixing the deal will keep UUU from reaching it's full potential , at least until the deal is finalized one way or another.

I myself hope the deal is stopped , I don't like the idea of Russian government control over such a large chunk of our future energy resources.

PDN was down with UUU this week so I think it was just profit taking in general , I myself sold PDN at $5 on Friday as I was expecting a pullback in the markets in general.

I don't see why our government would put up such a fuss about selling Potash to BHP when they are allowing the sale of our second largest uranium producer to the Russian government.

Now the Russians are looking into the feasibility of putting in a bid for Potash.


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## HaroldCrump (Jun 10, 2009)

furgy said:


> I myself hope the deal is stopped , I don't like the idea of Russian government control over such a large chunk of our future energy resources.


I agree totally.
At least, we are better off than our cousins south of the border, wherein the middle eastern Sheikhs own 17% of the GDP and the Chinese own 25% or so.


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## humble_pie (Jun 7, 2009)

morning furgy,

the 4 congressmen campaigning to timothy geithner - ie to washington at the highest level - are concerned about possible russian sales or transfers of uranium to iran and (i read) to burma where russia is already aiding burmese scientists who are preparing to build nuclear reactors. Brrr. There's a huge difference between enriched uranium & potash; potash is not used in nuclear missiles as far as i know so one can see the legitimate concern over uranium.

i've lost track of what these congressmen are up to right now, i guess one would have to consult their district newspapers (florida, alabama, new york, california) for current details. Or their own websites. My guess is that probabilities favour their success. So i'm expecting the knockdown in uuu price that you predicted.

what's fascinating is how complex is the trade web that envelops the planet. Like, it's a canadian company with major mines in kazakhstan & africa. It just happens to own a small mine in wyoming, which leaves the US holding the ace card.


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## davext (Apr 11, 2010)

I guess we have a few weeks to find out as per the Uranium One earnings report. 

If it takes longer for the US Federal government to approve of this, then I'll probably sell as well. 

This is a Canadian company, and Russia is going to have to get uranium some how for its reactors regardless of who is disagreeing with the ownership. Russia is not the enemy right now, I don't think they can mount enough justification to reject the deal although they could prolong the decision.


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## davext (Apr 11, 2010)

I sold some more Uranium One today since it went up to $4.95.


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## davext (Apr 11, 2010)

Uranium One received final approval today but still has not released the the dividend date. Since the share price has gone up again and I've sold about 50% of my position already, I think I'll just hold this one for a while.


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## RealizedReturns (Oct 16, 2010)

I hold a few Uranium plays and they've treated me very well the last few weeks. Anyone else here holding DML?


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## humble_pie (Jun 7, 2009)

i have UUU shares that are as studded with options as a virginia ham with cloves. These options will be severely impacted by the USD 1.06 special dividend, so i've been anxious to know the X and record dates. It will be crucial, i have been thinkinkg to myself, to turn those option positions around prior to the X date.

the date details are indeed missing from co's news release yesterday, as dave says, so i phoned the company to learn their approximate anticipated schedule for release of these dates. What i learned is that they are waiting for rozatom to deliver the cash payment. This should be arriving "very soon." As soon as cash does arrive, the board of directors will fix the terms of the special dividend & the company will issue a news release immediately.

although the spokesman could not confirm any schedule for the foregoing other than "very soon," i think it would be useful for someone who is interested in the dividend dates to begin monitoring newswires or the company's website on a daily basis.

the spokesman reconfirmed the other facts that have previously been announced. That the final closing is expected to take place in late december, when the russians will deliver the mines in kazakstan and UUU will pay out the dividend to shareholders.

yesterday was ultra-quiet due to the US holiday, so i was able to roll my options forward and up despite the double handicap of a thin market and the montreal exchange. It wasn't the best deal of my life, but i'm content to stay long this stock. Uranium is part of a broad energy portfolio. With the close of this deal, i for one believe that UUU leaves the junior stage forever & becomes a geographically diversified medium producer - the surprising factoid the representative mentioned obliquely yesterday is that UUU is looking to buy a mine in the US - with sound management to boot.


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## humble_pie (Jun 7, 2009)

UUU div 1.06 US was declared friday evening.

X dec 8, record dec 10, pble dec 20.


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## Assetologist (Apr 19, 2009)

humble_pie said:


> UUU div 1.06 US was declared friday evening.
> 
> X dec 8, record dec 10, pble dec 20.


Any guesses as to the price of UUU leading up to and after the dividend payment?
I am holding mine beyond this event.


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## humble_pie (Jun 7, 2009)

you know what they say about dividends the morning a stock goes X. Not that i have necessarily found this nostrum to be the rule. What happens is that market forces instantly blow in & scour away any notional dividend-related drop a stock may experience. Thus i've seen stocks rise dramatically on the X date, or, conversely, fall farther than the dividend amount.

the strongest effect of this dividend will be upon existing UUU options. Each existing call contract is expected to henceforward include a deliverable of USD 106.00, in addition to 100 shares of UUU. This expectation is subject to an official circular to be issued soon by the montreal stock exchange. New classes & series of options to be created in UUU will, however, carry shares only.

as a matter of fact the whole concept of special dividends' effect upon option contracts & therefore upon trading prices has undergone radical transformation. New rules call for option contracts to be adjusted for all special dividends in excess of 15 pennies in canada, 12.5 pennies in the US.

it's rumoured that CIBC might pay out a special dividend. This would affect this bank's option contracts. Any other bank, same story. Any other company anywhere in north america, same story.


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## davext (Apr 11, 2010)

So what have we concluded about the Uranium One now? 

The stock dropped almost 10% after the information for the special dividend was released on 11/26 but it bounced back after a couple of days. 

Are we expecting it to drop by $1.06 USD tomorrow? 

Seems like Uranium is making news all over the place now so I'm not sure how much upside is left. Since I don't have that many shares anyway, I'll just hold on and enjoy the ride.


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## furgy (Apr 20, 2009)

Yep , down by the div amount , as expected. , and recovering nicely.

If you're still holding , I would be tempted to keep UUU long term now , this uranium bull market is in full swing.

Now that the uncertanties have been removed , I can see it reaching previous highs of $18 or so eventually.

JMO , don't own it anymore.


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## davext (Apr 11, 2010)

Very exciting, yes it's only down 77 cents now. I picked up a few contracts for Cameco as well.


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## humble_pie (Jun 7, 2009)

one could theoretically argue that uuu actually "rose" yesterday in x-date trading by close to 11 pennies. Shareholders 2 days ago will receive the US 1.06 dividend although yesterday they sustained a paper loss of 96 canadian cents. Today stk is steady on the day.

co has an interesting presentation on its website. Dec 1/10 presentation at scotia mine conference. What's interesting is the increasing focus on expansion within the US of A. This morning a source confirmed that with increased production facilities in our neighbour to the south, UUU is now planning to ramp up to production of 2-4 million pounds of yellowcake from the US alone by 2015 or 2016.

hmmmn. The recent fast n easy US approval of the russian ARMZ takeover intrigued me. Could it be that longterm the US is seeing development of its uranium resources, even with russian partners, as one way of keeping said resources out of chinese hands.


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## davext (Apr 11, 2010)

The uranium stocks where hit on the same day which makes me think that the 96 cent drop was a good sign for Uranium One. It would have lost more if it was going following the rest of the uranium stocks.

In terms of the politics, I don't think the USA had enough reason to block the acquisition. They gotta pick their battles, this wasn't one of them. Iran should be the main focus for their concern in Uranium.


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## humble_pie (Jun 7, 2009)

russia is the sole supplier of uranium to iran. I've posted this connection upthread.

it's why i had expected washington to throw a monkey wrench into the ARMZ takeover of uuu. Well, washington didn't. So now i'm thinking that longterm washington intends to count on other ways to control russian delivery of yellowcake to iran.

meanwhile it seems that washington views a russkified uuu expansion within the US as preferable to possible chinese ownership of the same resources. These are located in wyoming, montana & arizona.


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## davext (Apr 11, 2010)

oops, my bad.


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## furgy (Apr 20, 2009)

humble_pie said:


> russia is the sole supplier of uranium to iran. I've posted this connection upthread.
> 
> it's why i had expected washington to throw a monkey wrench into the ARMZ takeover of uuu. Well, washington didn't. So now i'm thinking that longterm washington intends to count on other ways to control russian delivery of yellowcake to iran.
> 
> meanwhile it seems that washington views a russkified uuu expansion within the US as preferable to possible chinese ownership of the same resources. These are located in wyoming, montana & arizona.


Actually , they probably view Russian ownership preferable to Canadian ownership of UUU , remember , it was OUR second largest Uranium producer.

I'm more surprised Canada didn't put up some resistance to the deal after scuttling the big Potash deal.

Only time will tell how Russian ownership of UUU will pan out , they have a history of screwing investors and competitors alike.


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## Toronto.gal (Jan 8, 2010)

Latest on UUU....

http://business.financialpost.com/2010/12/20/uranium-one-upgraded-after-mantra-deal/


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## davext (Apr 11, 2010)

I sold the rest of my shares last week at $4.43. Oh well, will keep an eye out for a Uranium correction.


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## HaroldCrump (Jun 10, 2009)

Anyone buying UUU today?
> 25% drop.
Currently trading in the $4.20x range.


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## Assetologist (Apr 19, 2009)

HaroldCrump said:


> Anyone buying UUU today?
> > 25% drop.
> Currently trading in the $4.20x range.


Still holding UUU and looking for CCO but it must go even lower.


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## bmckay (Mar 10, 2011)

uranium stocks have taken a massive hit which really is no surprise


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## dogcom (May 23, 2009)

I think some time will need to pass before everyone feels more comfortable with Uranium again. You may get a bounce trade but this is one of those scary items that is hard to shake the scare factor. I think it is time to start looking at Nat Gas stocks for a cheap buy that you may have to wait on a bit but I think the price is right. Coal of course is another one that should do well if the Uranium scare really does sink in.


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## BRS9 (Feb 22, 2011)

HaroldCrump said:


> Anyone buying UUU today?
> > 25% drop.
> Currently trading in the $4.20x range.




I picked up some oct UUU calls right at the open this morning.

They got hammered and are already up 17% since I bought them.


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## humble_pie (Jun 7, 2009)

harold i would not. Uranium stocks imho are going to have to sink lower once the world takes in & deals with what is happening. Today's downward correction in U stocks was nowhere severe enough imho. Smaller U stocks harder hit, not surprisingly. Big producer like cameco did not plummet to lo 20s, because world's reactors will continue to need & buy fuel, but this may come.

everywhere except in japan people are ostriching themselves to the news.

one reactor vessel (no 2) may be cracked or broken; 3 meltdowns in 3 reactors are definitely underway whether full or partial not yet determined. Seawater treatments only spottily successful due to valve/pump/venting problems that workers cannot repair. Today brought news that external radiation levels near dai-ichi facility highest so far since the tragedy began.

it looks like folks would rather not think about multiple meltdowns in several reactors for weeks/months/years to come ... i wouldn't be fooling around w puts, either. There are funner things to do in life.


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## Beleriand (Jan 31, 2011)

Yeah, uranium is a hot investment of current days.


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## dcaron (Jul 23, 2009)

http://www.google.ca/finance?q=CVE:NKW

Naikun Wind Energy Group Inc. (Public, CVE:NKW) 
*NKW	0.320	204.76%*

0.320 +0.215 (204.76%)


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## Betzy (Feb 7, 2011)

dcaron said:


> http://www.google.ca/finance?q=CVE:NKW
> 
> Naikun Wind Energy Group Inc. (Public, CVE:NKW)
> *NKW	0.320	204.76%*
> ...


Sweet mother that is nuts, did you own some of this?


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## KaeJS (Sep 28, 2010)

dcaron said:


> http://www.google.ca/finance?q=CVE:NKW
> 
> Naikun Wind Energy Group Inc. (Public, CVE:NKW)
> *NKW	0.320	204.76%*
> ...


Oh my F...


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## HaroldCrump (Jun 10, 2009)

Interesting...Google finance doesn't show any recent news for this specific company.
If it's the reaction from the Japan nuclear thing, then all other similar companies didn't have the same swing.
So it must be something specific to this company, but what?

It appears that there is some news that hasn't been made public, but has leaked out and caused this type of buying, no?


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## humble_pie (Jun 7, 2009)

harold this is so unlike you. It's nothing that has leaked out. It's hard news that's out.

btw this is a wind energy play not a uranium play.

look again. Great story in haida gwaii.


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## furgy (Apr 20, 2009)

March 17:

Federal Environmental Approval for NaiKun Wind Positions Northern B.C. to Become Canada’s First Offshore Wind Producing Region


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## humble_pie (Jun 7, 2009)

plus yesterday's news that encana is acquiring 30% of future LNG terminal at kitimat bc - on the mainland across from haida gwaii - added to the furious fireworks in naikun.

my guess would be that couple institutions were heavily buying, stock was illiquid as usual, no market, so price flew out of control to the upside. Now the institutions are probably done. However, the story remains a good one. Look at the quality of naikun management. It was really never a question of if but rather of when. I haven't checked in depth to see, but personally i'm hoping that the skidegate haida managed to get their hands on a great big fat chunk of ownership ...

the thirst & appetite of institutions for new post-sendai post-fukushima investments are fierce beyond belief. They (the institutions) seem to be moving w lightning speed. Speaking by chance to an excellent analyst yesterday, i could see her thought stream. It was like we-learned-from-early-2009-not-to-miss-the-opportunities-in-disaster-so-this-time-we-are-determined-to-be-first-out-of-the-gate.

whew. I hope that some of the opportunities will be left over for us little guys, the retail shareholders.


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## HaroldCrump (Jun 10, 2009)

Ah, I see now...for some reason Google finance isn't picking up that news in the news widget.
Regular Google finds it.


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## Daniel A. (Mar 20, 2011)

Couldn't find a better deal anywhere than this week.

Emotion sellers are great I was holding PDN & URE had sold UUU in January.

Bought back into UUU Friday morning a screaming buy at 3.50.
Early in the week my PDN was down 43 % and has come back up, now down 23% and I expect it to recover in the coming months.

With the whole sector oversold this is the time to buy.

I remember when BP tanked on the spill and Manulife tanked on hedge.


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## clovis8 (Dec 7, 2010)

It seems like uranium stocks have to go up after the huge panic selling in the last couple weeks. I am thinking of buying in but the two big ETFs have MER of more than .6 which seem kind of high. A straight up Cameco play maybe but I am skittish about straight equities now.


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## Homerhomer (Oct 18, 2010)

Uranium may very well be a fantastic investment right now, however with so many countries seriously looking at their nuclear energy, there may be a significant shift going forward, after all not only natural disasters but also man made disasters (wars, terrorism, malfuctions....) can have a devastating results.

This will never be a problem with wind and sun, we just have to learn how to harness it propertly and the sooner the better. Perhaps it's time to look at clean energy (sans uranium) etf.


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## Causalien (Apr 4, 2009)

Homerhomer said:


> Uranium may very well be a fantastic investment right now, however with so many countries seriously looking at their nuclear energy, there may be a significant shift going forward, after all not only natural disasters but also man made disasters (wars, terrorism, malfuctions....) can have a devastating results.
> 
> This will never be a problem with wind and sun, we just have to learn how to harness it propertly and the sooner the better. Perhaps it's time to look at clean energy (sans uranium) etf.


It will go down to retest the lows since it just bounced off a 50% fibs recently. Nothing short term, other than China's new promise to build more plants (or earnings release) will push the stock up past technical resistances.

In sum, a range bound play until something fundamental changes. Still a 5 year + investment recommendation. New plants do go online until then.


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## Banalanal (Mar 28, 2011)

I've been watching CCO throughout all of this. It made its bounce back after the panic sell but now has just about returned to it's tsunami low. Assuming no tragedies arise from the Japanese reactors, I just can't see an imminent shift away from nuclear power. Power production on the scale that nuclear reactors can reach is so limited, countries are just not going to be able to halt current production of plants or forgo near-future plans.

This is probably an over simplification, but I'm looking bullish on CCO. Thoughts?


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## kcowan (Jul 1, 2010)

I would call it a long term hold. Do not look to any short-term movement until the news coverage changes.


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## Banalanal (Mar 28, 2011)

Agree, that's what I'm thinking, 5 years plus.


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## BRS9 (Feb 22, 2011)

It will be back in 12 months is my guess.

Japan was to Uranium what the recent gulf spill was to oil. There's that initial shock and the commodity tumbles; then as people realize it's still very much needed - the price soon comes back.


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## KaeJS (Sep 28, 2010)

I think I will be re-taking a position in UUU.TO tomorrow.

Cameco looks like a good option, also. However, I see more upside with UUU.TO.


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## Banalanal (Mar 28, 2011)

I think I'll be buying CCO on Monday. I just can't imagine not making money off of this given the demand is increasing in Asia. Unless something dire happens in Japan concerning the reactors, countries are not going to shift their energy plans given their limited options. CCO has low debt, an increasing dividend, some of the richest uranium reserves in the world and is the world's biggest producer.


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## Homerhomer (Oct 18, 2010)

Banalanal said:


> I think I'll be buying CCO on Monday. I just can't imagine not making money off of this given the demand is increasing in Asia. Unless something dire happens in Japan concerning the reactors, countries are not going to shift their energy plans given their limited options. CCO has low debt, an increasing dividend, some of the richest uranium reserves in the world and is the world's biggest producer.


1) I think situation in Japan is already dire and is prompting various governments to rethink their nuclear energy future.

2) The growing dividends may be quickly cut if there is drastic decrease in earnings

3) The stocks had a bit of rebound but now are drifing down, and are still way higher than it was a year ago, quite possible you will be making money on it in the future but personally I wouldn't be suprised if you have better buying opportunities in the near future.

Way to risky for me at this time personally ;-)


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## Banalanal (Mar 28, 2011)

Definitely legitimate concerns. This was one of the more interesting articles out of all the ones I've poured over lately http://seekingalpha.com/article/258988-uranium-future-intact-alka-singh


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## Homerhomer (Oct 18, 2010)

KaeJS said:


> I think I will be re-taking a position in UUU.TO tomorrow.
> 
> Cameco looks like a good option, also. However, I see more upside with UUU.TO.


I sincerly suggest less gambling and more investing, really!!


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## Banalanal (Mar 28, 2011)

Also, Japan has stated they are not pulling away from nuclear energy. China has many plants under construction and many planned for the future. India and Korea are in the same boat. 

The company rarely trades under 30 p/e, has a historically high dividend yield, growing dividend, low debt, biggest producer of the commodity and took a significant price drop when both an earthquake and a tsunami hit a 40 year old plant. Nuclear demand is growing, that's a fact, and the countries that are the biggest buyers of uranium have already reconfirmed that after the Japanese reactor events, they are not slowing down production of plants. Germany seems to stand alone.

Buying CCO is not without risks of course, but given limited options in large scale energy production, I still see this as a value buy.


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## clovis8 (Dec 7, 2010)

Homerhomer said:


> 1) I think situation in Japan is already dire and is prompting various governments to rethink their nuclear energy future.


There is nothing to rethink. They literally have no choice but to build nuclear.


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## ddkay (Nov 20, 2010)

There's a lovely Uranium film from 1990 on the NFB website http://www.nfb.ca/film/Uranium/


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## gibor365 (Apr 1, 2011)

KaeJS said:


> I think I will be re-taking a position in UUU.TO tomorrow.
> 
> Cameco looks like a good option, also. However, I see more upside with UUU.TO.


The best choice in this case ETF URA with 3 top holdings:
Cameco 21.8% , Uranium One 18.3% and Paladin Energy Ltd. 10%.

I bought this ETF on pullback and bought separately CCO (as think this is more stable and promising company), plannig to add shares on Monday for both


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## Homerhomer (Oct 18, 2010)

clovis8 said:


> There is nothing to rethink. They literally have no choice but to build nuclear.


Yes, there is something to rethink because some countries are rethinking it ;-)


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## clovis8 (Dec 7, 2010)

Homerhomer said:


> Yes, there is something to rethink because some countries are rethinking it ;-)


Only politically. Most contract are already signed until 2013 and after that there is no viable alternative.


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## Toronto.gal (Jan 8, 2010)

And those are indeed facts! 

I think people forget that moving forward, we're dealing with [supposedly] much safer & revolutionary technology, not the 40 year old tech from GENERATION II reactors from the 60's & 70's. 

I did not hesitate to buy UUU & PDN after their huge tumble.


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## Homerhomer (Oct 18, 2010)

clovis8 said:


> Only politically. Most contract are already signed until 2013 and after that there is no viable alternative.


I have no reason to disagree with that short term, but solar and wind as only unlimited resource will became major energy source eventually, I am just hoping it will be in my lifetime, and perhaps such tragic event will trigger the change a bit sooner. That's your world citizen speaking ;-)

Investment wise I am sure the price will rebound, questions is from which level to which level?

Right now it's too risky for me, if it reacheas levels from last summer I will look at it differently ;_)

T.Gal - aren't all new technologies "new and improved", yet they all find a way to fail ;-)


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## KaeJS (Sep 28, 2010)

gibor said:


> The best choice in this case ETF URA with 3 top holdings:
> Cameco 21.8% , Uranium One 18.3% and Paladin Energy Ltd. 10%.
> 
> I bought this ETF on pullback and bought separately CCO (as think this is more stable and promising company), plannig to add shares on Monday for both


I actually ended up purchasing 200 of Cameco at $29.65

However, UUU.TO is not marked off my list.

And personally, ETF's are not for me.


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## clovis8 (Dec 7, 2010)

I am with you Horn. I hope solar and wind become much bigger player in energy but right now, and for the foreseeable future, they produce very little energy. The best either does is in Denmark where only about 1/4 of its energy is produced by wind. 

The fact is we will likely pass peak oil production sometime in the next 20-30 years and right now nuclear is our only real option. 

Politicians will hand ring and give speeches but the plants will still be built.


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## gibor365 (Apr 1, 2011)

KaeJS said:


> I actually ended up purchasing 200 of Cameco at $29.65
> 
> And personally, ETF's are not for me.


 just wondering why?!

Personally I believe that nuclear will be expanding in future. Solar, wind - BS imho. We had solar heating when I lived in Israel and where sun is 300 days per year (11 months very hot and 1 months hot), and.... solar "power" was enough for 45min shower.... go run factories with solar 
On other hand, just compare how many ppl died as a relusts from uranium leaks and how many dying every year from "convential"


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## Dibs (May 26, 2011)

Cameco and other uranium stocks have been taking a beating in the last few weeks. Anyone still planning on buying?


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## jmlz1987 (Jun 8, 2011)

TSEDN is a smidge away from its 52-wk low. 

Uranium is worth putting a long position into, especially one with long-term contracts out there. I will be picking up a small position tomorrow on this one.


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## zylon (Oct 27, 2010)

*Post-Fukushima World*

Good article about _Uranium in a Post-Fukushima World_ from _Casey Research_. 
I'm surprised this is available free, to one and all.

Here's something I hadn't heard before ... I guess good news is no news.


> In the week before Christmas, Japanese authorities finally achieved victory at Fukushima, declaring the half-destroyed plant stabilized. It will still take decades to dismantle the wreckage completely, and the 160,000 people who lived near the plant have still not been allowed to return to their homes. But the nine-and-a-half-month battle to cool radioactive fuel rods and seal off contaminated areas is finally over.
> http://www.caseyresearch.com/cdd/uranium-post-fukushima-world


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## Assetologist (Apr 19, 2009)

Thanks for sharing.
Holding and accumulating Uranium producers at big dips.
Nuclear cannot be displaced for many years and is very likely to expand despite fear mongering. 
Reality ultimately prevails as it always does.


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## Uranium101 (Nov 18, 2011)

Assetologist said:


> Thanks for sharing.
> Holding and accumulating Uranium producers at big dips.
> Nuclear cannot be displaced for many years and is very likely to expand despite fear mongering.
> Reality ultimately prevails as it always does.


100% agree.
I am already making little gains on CCO. Not so hot for other producers. that will teach me to diversify into something inferior.


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