Topic: Growth Stocks

CAMECO CORP. $18.16 – Toronto symbol CCO

CAMECO CORP. $18.16 (Toronto symbol CCO; TSINetwork Rating: Extra Risk) (306-956-6200; www.cameco.com; Shares outstanding: 395.8 million; Market cap: $7.3 billion; Dividend yield 2.2%) has rebounded 10.8% after falling to $16.73 on July 17, 2015. That’s partly because Japan’s Kyushu Electric Power Company has restarted one of its nuclear reactors. This is the first nuclear station to restart since the country’s government shut them all down after the March 2011 earthquake and tsunami damaged the Fukushima plant, allowing radiation to escape. Kyushu plans to restart a second reactor in October.

Japan’s return to nuclear power likely won’t spur uranium prices, at least in the short term. That’s because the country’s power companies will have to use up their large inventories before buying more.

However, uranium’s long-term outlook is bright, particularly as China and India plan to build 93 new reactors by 2040.

Cameco is still a hold.

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