Monday, April 21, 2008 at 12:57AM
A sign of the times is just how low some of the uranium’s are trading is Uranium Participation, currently trading at $8.06 giving the company a P/E ratio of 2.05.
Uranium Participation Corporation has a Market Capitalisation is $482 million and on Friday the volume was 1.92 million shares traded. The company’s stock price has a 52-week high $17.50 and a 52-week low $7.92, pretty much as hard hit as the others in this sector.
We find it staggering that this company, which basically trades in uranium and does not have any exposure to the risk element that goes with mining, can have been sold off to the point that its Price to Earnings Ratio is 2.05 and the EPS (Earnings per Share) is $3.94.
The average cost to them of u3o8 is $37.91 US dollars per pound, according to their NAV update dated 29 February 2008, against a long-term uranium price of $95/lb.
Are we unfashionable at the moment or what?
Uranium Participation Corporation trades on the Toronto Stock Exchange under the symbol of ‘U’
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Have a good one.