Cameco Corporation (NYSE:CCJ) is well positioned to benefit from rising uranium prices. The producer has some of the best production assets in the industry and ample proven reserves. Sustained low uranium prices have forced Cameco to shutter several production sites in recent years. The company is betting on Chinese demand for nuclear reactor construction to drive up uranium prices; however, there is significant uncertainty on the supply side of the pricing equation. Shares of Cameco offer upside potential; however, the company could also be highly volatile due to heightened global supply and demand uncertainty.
Cameco is a pure-play uranium producer headquartered in Saskatchewan, Canada. Founded in 1987, Cameco is one of the largest producers of uranium in the world and owns some of the highest quality uranium reserves. Trading on the NYSE as “CCJ” and on The TSX as “CCO”, Cameco has a market capitalization of approximately C$5.5B.