Energy

pieces of uranium ore

What are the uranium stocks to watch in 2022? Analysts at Raymond James recently listed three they have on their radar right now.

Click here to read the previous uranium stocks to watch article.

The uranium industry is receiving a boost from the growing push to decarbonize the global economy while supply of the energy metal still remains a heavy concern. Because of this, investors may be wondering which uranium stocks to watch.

The launch of the Sprott Physical Uranium Trust (TSX:U.UN) and ongoing concerns over potential future uranium supply shortages sent the uranium spot price to a nine year high in late September 2021, briefly crossing the critical US$50 per pound level.

In 2022, Russia’s war in Ukraine has further boosted prices for uranium as countries look to nuclear power as an alternative to fossil fuels. “There is no doubt that Russia’s war in Ukraine is reshaping not only the nuclear fuel industry, but the world at large,” Ana Bryndza, executive vice president at UxC, told the Investing News Network (INN) in an interview. “There has been a notable resurgence of interest in nuclear power and there are certainly openings for what could eventually become a nuclear renaissance.”

As of June 13, analysts at Trading Economics reports that the price of uranium gained 20.05 percent since the beginning of 2022 to firmly breach the US$50 mark. The firm has forecast that the energy metal will trade at US$58.93 per pound in 12 months time.


Higher uranium prices are translating into gains for uranium stocks. Read on to learn about which uranium stocks to watch in the current price environment according to analysts at Haywood Securities. All stats were current as of June 13, 2022.

1. Denison Mines (TSX:DML,NYSEAMERICAN:DNN)

Current share price: C$1.40; US$1.09

The first of the uranium stocks to watch is Denison Mines. The company has a number of interests in Canada's premier uranium mining jurisdiction, the Athabasca Basin region. Denison holds a 95 percent interest in the Wheeler River project and a 22.5 percent interest in the McClean Lake uranium mill, which has a toll milling agreement for processing ore from the Cigar Lake mine.

In Q1, Denison commenced its 2022 in-situ recovery (ISR) field test program at the high-grade Phoenix uranium deposit on the Wheeler River property. The results will inform the feasibility study for the project slated for completion in Q4 2022.

2. Uranium Energy Corp (NYSEAMERICAN:UEC)

Current share price: US$3.53

Haywood Securities is impressed with Uranium Energy Corp's (UEC) production-ready assets in close proximity to its South Texas Hobson central processing plant. These multiple deposits could be brought into production at a relatively low capital expenditure.

The company's fully permitted Reno Creek project is construction ready with the potential for 4 million pounds of U3O8 output per year once uranium prices increase enough to warrant a production decision.

UEC announced the acquisition of UEX Corporation in June 2022 to create the largest diversified North America focused uranium company. UEX’ portfolio includes 29 uranium projects in the Athabasca Basin.

3. NexGen Energy (TSX:NXE,NYSEAMERICAN:NXE, ASX:NXG)

Current share price: C$5.47; US$4.24

Another uranium company that offers investors exposure to the Athabasca Basin is exploration and development company NexGen Energy. Its main property in the uranium hotspot is Rook I, which hosts a number of discoveries, including Arrow and South Arrow. NexGen also holds a 51 percent interest in exploration-stage IsoEnergy (TSXV:ISO,OTCQX:ISENF).

NexGen completed a feasibility study on Rook I in 2021, and the project is currently in development with the advancement of Front End Engineering Design (FEED). The FEED is scheduled to be completed in Q3 2022.

Don't forget to follow us @INN_Resource for real-time updates!

Securities Disclosure: I, Melissa Pistilli, hold no direct investment interest in any company mentioned in this article.


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