Uranium Energy: Buy, Sell, or Hold?
Shares of Uranium Energy (NYSEMKT: UEC) have rocketed higher over the past year, gaining a massive 175% or so. This has been driven by the rising price of uranium, the nuclear fuel that the company sells. But this is a notoriously volatile commodity that has often experienced steep declines after rapid price increases. What should investors do with Uranium Energy today -- buy, sell, or hold?
Uranium Energy is an interesting company in the nuclear energy space. For starters, it doesn't actually have any operating mines at this point. What it owns is a stockpile of uranium that it purchased when uranium prices were deeply depressed. It can now sell all of the uranium for a profit and use the cash to build out the uranium mines it has on its drawing board.
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Source Fool.com
