Posted by timebandit on 18th of Feb 2021 at 11:26 am
Ah, sorry. My oversight. Here's an excerpt...
Summary
The company posted a loss in 2020 and has committed sales
volumes of only between 23 million and 25 million pounds of uranium
for 2021.
With its main mines closed, Cameco can make a profit through
uranium market purchases only if spot prices keep under $40 per
pound.
Ironically, an increase in uranium prices would significantly
increase its losses.
The company's plan is to put McArthur River back into
production when uranium prices recover, but I doubt this can be
done.
I continue to think that Cameco shouldn't be worth more than
$800 million.
You just heard The Prayer for the Dead, my fellow stockholders,
and you didn't say, "Amen." This company is dead. I didn't kill it.
Don't blame me. It was dead when I got here. It's too late for
prayers. For even if the prayers were answered, and a miracle
occurred, and the yen did this, and the dollar did that, and the
infrastructure did the other thing, we would still be dead. -
Lawrence Garfield, Other People's Money (1991)
Introduction
Cameco (NYSE:
CCJ) is a uranium company that
currently produces no uranium and its story reminds me a lot of a
fictional company in the movie Other People's Money called New
England Wire & Cable Co.
Just like New England Wire & Cable, its best years are far
behind it, investors have been hoping for several years that a
change in the market will help it turn around its business, and the
share price is soaring.
Cameco recently
postedweak 2020 results and the outlook for 2021 is dim, yet
I've been told numerous times that I was wrong in my latest
bearish articleon SA because the share price keeps rising.
Well, a soaring share price doesn't fix the fundamentals of the
business and I continue to think Cameco is a sell.
Cameco's financial performance
In 2020, the company lost a total of C$53.2 million ($42
million). With the Cigar Lake mine
closing twicedue to COVID-19, output was just five million
pounds of uranium. With sales commitments of 30.6 million pounds,
it was nearly impossible for the company to finish the year in the
green. During 2020, Cameco incurred a total of C$196 million ($155
million) in care and maintenance costs, C$113 million ($89 million)
in direct administration costs and C$96 million ($76 million) in
finance costs.
timebandit, that is not why the stock was halted... it
was halted on the pending court decision. "Gold Panda"
however would be flattered that you think they halted the stock to
release his bogus analysis LOL! He compares it to New
England Wire & Cable.... too funny.
Newsletter
Subscribe to our email list for regular free market updates
as well as a chance to get coupons!
Ah, sorry. My oversight. Here's
CCJ halted-- any news??
Posted by timebandit on 18th of Feb 2021 at 11:26 am
Ah, sorry. My oversight. Here's an excerpt...
Summary
You just heard The Prayer for the Dead, my fellow stockholders, and you didn't say, "Amen." This company is dead. I didn't kill it. Don't blame me. It was dead when I got here. It's too late for prayers. For even if the prayers were answered, and a miracle occurred, and the yen did this, and the dollar did that, and the infrastructure did the other thing, we would still be dead. - Lawrence Garfield, Other People's Money (1991)
Introduction
Cameco (NYSE: CCJ) is a uranium company that currently produces no uranium and its story reminds me a lot of a fictional company in the movie Other People's Money called New England Wire & Cable Co.
Just like New England Wire & Cable, its best years are far behind it, investors have been hoping for several years that a change in the market will help it turn around its business, and the share price is soaring.
Cameco recently postedweak 2020 results and the outlook for 2021 is dim, yet I've been told numerous times that I was wrong in my latest bearish articleon SA because the share price keeps rising. Well, a soaring share price doesn't fix the fundamentals of the business and I continue to think Cameco is a sell.
Cameco's financial performance
In 2020, the company lost a total of C$53.2 million ($42 million). With the Cigar Lake mine closing twicedue to COVID-19, output was just five million pounds of uranium. With sales commitments of 30.6 million pounds, it was nearly impossible for the company to finish the year in the green. During 2020, Cameco incurred a total of C$196 million ($155 million) in care and maintenance costs, C$113 million ($89 million) in direct administration costs and C$96 million ($76 million) in finance costs.
timebandit, that is not why
Posted by hoek2 on 18th of Feb 2021 at 11:41 am
timebandit, that is not why the stock was halted... it was halted on the pending court decision. "Gold Panda" however would be flattered that you think they halted the stock to release his bogus analysis LOL! He compares it to New England Wire & Cable.... too funny.