Cameco Corporation Stock Drop Reason

Reported about 1 year ago

Cameco Corporation (NYSE: CCJ) stock dropped approximately 4.9% by early afternoon due to falling uranium prices driven by increased supply and the impact of higher prices on demand. Factors such as a resumption of full production in Kazakhstan, new mining in Namibia and Australia, and higher production at Cameco itself are contributing to a forecasted 4.1% annual supply growth in uranium through 2030. This oversupply situation could lead to lower prices and reduced profits for companies like Cameco, which currently has a high stock price compared to earnings, potentially indicating the need for investors to consider selling.

Source: YAHOO

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