On a sunny April 18, 2023, investors were treated to news of Sumitomo Mitsui Trust Holdings Inc’s latest acquisition. According to the most recent SEC filing made by the company, Sumitomo Mitsui grew its holdings in Cameco Co. (NYSE:CCJ) (TSE:CCO) by an impressive 6.9% in the fourth quarter. The move saw the firm add 69,939 more shares than they previously owned, bringing their total holdings to 1,078,648 shares.
The value of this acquisition is not to be understated as it has put Sumitomo Mitsui in control of approximately 0.25% of Cameco’s worth. Specifically, the investment is now worth $24,467,000 according to the most recent estimates at the end of Q4.
Should investors be concerned about what this acquisition means for Cameco? It’s undoubtedly a question that many traders and analysts alike will be asking themselves. However, for now at least based on current trading patterns and developments within the company itself there seems little reason for alarm bells.
Cameco’s shares opened at $26.04 on Tuesday with an impressive market cap currently standing at $11.28 billion dollars. Such valuations are expected from a company that operates principally in mining and refining uranium for civilian nuclear purposes worldwide.
Furthermore, while not without risk – primarily down to their continued reliance on nuclear energy production – their low debt-to-equity ratio ($0.17) is reassuringly conservative and more importantly provides resilience should any unforeseen complications occur.
The company boasts positive liquidity ratios; their quick ratio stands at 4.74 with a current ratio of 5.92 which should reassure any investor concerned about a lack of cash on hand should financing options dry up amidst uncertain global economic policies or shifting political stances.
Their upcoming year performance ranking will also likely improve, helps measuring how the stock’s expected performance compares to other alternatives, due to the fact their 52-week high is $31.77 with a corresponding 52-week low of $20.01, indicating a potential for stable growth throughout 2023.
All this taken into consideration alongside other reported insider trades and filings documented on HoldingsChannel.com and an impressive PEG ratio of just 0.40 makes Cameco a top pick in the basic materials company sector.
As such, those reviewing their portfolio for option laying should definitely pay heed to Cameco becoming a more significant player in the global business scene.
Cameco Co. Sees Changes in Investor Positions and Varied Brokerage Ratings Amidst Falling Short of Analyst Expectations
Cameco Co. (NYSE:CCJ) and (TSE:CCO) has seen some changes to its investor positions in recent quarters, with a number of large investors making moves to adjust their positions. FNY Investment Advisers LLC purchased $31,000 worth of shares during the third quarter, while Bogart Wealth LLC bought a new stake, valued at $47,000. 1832 Asset Management L.P. ramped up its holdings by 61.9% during the first quarter, and now owns 1,700 shares in the company, valued at $49,000. James Investment Research Inc purchased shares equivalent to $53,000 during Q3 2022 and Sentry Investment Management LLC took up a new stake worth approximately $56,000 in the same period.
The institutional investors currently own 53.82% of Cameco Co.’s stock which has also been given varied ratings from several brokerages recently. TD Securities upgraded Cameco to a “buy” rating on February 10th, while StockNews.com began coverage on Cameco as “sell” rated shares on March 16th. Scotiabank raised its target price from C$43 to C$50 and Raymond James increased their price target from C$45 to C$48 for CCJ.
Cameco Corp., through its Uranium and Fuel Services segments operates across exploration for uranium concentrate mining milling purchase and sale; refining conversion and fabrication of uranium concentrate; as well as purchase and sale of conversion services.
During the last earnings call held on Febuary 9th 2023,Cameco fell short of analyst expectations posting EPS of $0.07 when their consensus estimate put them at EPS of $0.09 causing slight stir in the industry. However analysts have expressed optimism “As a group they expect Cameco Co.’s earnings per share for the current year will reach $1.16”.
For more information on hedge fund holdings and insider trading, interested investors can check out HoldingsChannel.com’s latest 13F filings.
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