Cameco trades at 10-year high as Wall Street Bets turns focus on uranium
Cameco (CCJ:NYSE) was the second most mentioned stock ticker on Wall Street Bets today, according to Quiver Quantitative.
The major Canadian uranium miner was only second to SPY, the SPDR S&P 500, in mentions on the popular finance bulletin board.
Today Cameco hit a high of $26.41 today, a level it hasn't seen since 2011.
Cameco wasn't the only winner. A number of uranium stocks were up sharply today: Uranium Royalty rising 23% to $5.43; ISOEnergy gaining 16% to $5.49; Fission Uranium adding 5% to $1.05; Denison Energy jumping 3.52% to $2.06; and Ur-Energy lifting 7.14% to $2.25.
Wall Street Bets carried forward last week's momentum. In news reports last week when uranium stocks were trading higher, Sprott director Rick Rule and Uranium Energy CEO Amir Adnani both credited the Sprott Physical Uranium Trust Fund (SRUUF) with adding liquidity to the market, which has helped raise stock prices in the sector.
Rule told David Lin, anchor for Kitco News, said that the current price is still cheap, especially when considering that most uranium producers in North America can't yet restart operations even with $40/lb.
"Sprott is going to make an application to list that trust on the New York stock exchange, where the overwhelming majority of the volume that [investors] enjoy in their precious metals trusts occurs. If that happens in terms of inflows into the trust, if the material is available to buy in the spot market quote, then you ain't see nothing yet,' he said.