Uranium Participation Corporation: P/E at 2.05!
Print This Post
|
Email This Page:
Topic: Uranium Mining Stocks — April 21st, 2008
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’
If you are new to this web site and would like to stay in touch with the uranium sector and investment ideas regarding uranium stocks, then please click this link and enter your email address.
Footnote:
For those of you who are looking for a little more diversity in the energy field then you may want to read Doug Casey’s Energy Speculator, just this link.
Have a good one.
Uranium Participation Corporation: BUY
Uranium Participation Corp: On the Watch List
Uranium Participation Up 9.5% Yesterday!
Uranium Participation Corp: Up 23.4% in 3 months
Uranium Participation Corp: Add to Holdings
|
|
ok bob,given the indicators are all at a low,what other indicator{s} are you waiting for to hit before you announce a buy signal on this stock like you did on november 21st 2006? i was thinking on buying denison mines but you mentioned you didnt have a buy signal yet on that either even though i was tempted to put in a buy order in at the beginning of april….you seem to be doing very well and you understand this technical analysis thing way better than i do…so ill wait for you bob….thanks
Comment by luke — April 21, 2008 @ 12:19 pm
As a fund that holds a commodity, they don’t have any true earnings. I believe they report increases in the NAV/unit as earnings for each year. Judging a commodity fund by looking at a P/E is not valid, it’s all about the NAV and whether it’s over or undervalued, and whether it’s increasing or decreasing. If you looked at the “earnings” this year it would be a nightmare with the dive the NAV has taken.
Comment by Matman — April 21, 2008 @ 2:16 pm
Luke, Its a hard one, the stock looks like a definite buy, but the drifting spot price appears to put a damper on the whole sector.
Comment by Uranium Stocks — April 21, 2008 @ 7:40 pm
understood bob,the one most important missing ingredient is not registering yet–the uranium spot price -perhaps by summertime- like last year-we’ll see the spot price increase and these urans will fly ! ……thanks
Comment by luke — April 21, 2008 @ 7:50 pm
I looked at a longer term chart, and there is a great support at the 7.30 area. If one runs a Williams % R at 112 day timeframe, you will see that we are in a zone that has produced 3 buy points last year. All of them good for a rally. I think the key is to not bet the farm. Someone mentioned Dennison……….this one too is a buy here. Just not the farm. LOOK AT THE VOLUME lately on Dennison. I think both are buys, but I AGREE ALSO that one is usually better off waiting for the turn. That is why, I only buy small qtys. In Dennison, I have bought at 9, and 8, and will buy one more time at 6.60 if i get the chance. URANIUM BULL MARKET NOT DONE……..still early, and this pullback gives one a chance again. Good luck to all, may you prosper.
Comment by NBkid — April 22, 2008 @ 12:12 am
Team, Thanks for the above comments they are very much appreciated.
Comment by Uranium Stocks — April 22, 2008 @ 3:03 am
Hallo dursty fellows!
The Oxford Club is opting for a very steep rise of the Uranium Stocks, starting soon.
Best regards, Karl
Comment by Karl Bula — April 22, 2008 @ 1:05 pm
The Oxford Club has made some good calls. Very good calls. They aren’t always right, and they are not TIMERS per se, but they have a pretty good bead on trends. I noticed that the spot price dipped below 70 last week. This now brings us to a 50% retracement of price………which now and then, is the extent of a correction. We shall see. I have also heard that the fall is the best time for URANIUM’s, but i have not done the research to study any seasonal patterns. Lets see……i’m holding a 1/2 dozen uraniums, so I hope they are right.
Comment by NBkid — April 22, 2008 @ 11:07 pm
i was unaware of the “tech” analyses of U. i am staggered and will be buying more today. i already have U, DNN THPW, UEC and rat-bait NNRI[another story, another time, ugh]. recently sold off some PXJ to purchase PKN. as you can see, i’m kindof “all in”…glta!!
Comment by richard mruz — April 24, 2008 @ 11:37 am