| How bulls are playing Cameco | |
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Cameco reports earnings at the end of this month, and traders are looking for a rally by next spring.
optionMONSTER's Heat Seeker system shows that 5,000 March 16 calls were purchased for $0.85 to $0.95 yesterday. This is clearly fresh buying, as open interest in the strike was only 147 contracts before the session began.
These long calls lock in the price where the stock can be purchased through mid-March 2016 no matter how far it might climb. They could be sold earlier at a profit if premiums rise with a rally before then, providing potentially significant leverage, but the contracts will expire worthless if shares remain below $16. (See our Education section)
CCJ rose 1.06 percent to $14.33 yesterday. The uranium producer fell to $11.60 on Sept. 28--pennies under its low from November 2008--and is now back to resistance levels that have been in place since early August. The company is scheduled to announce third-quarter results on Oct. 30 after the closing bell.
Yesterday's overall option volume in CCJ was triple its daily average for the last month. Total calls outnumbered puts by a bullish 24-to-1 ratio.
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VanEck Vectors Global Alternative Energy ETF
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PRODUCER |
CODE : CCO.TO |
ISIN : CA13321L1085 |
CUSIP : 13321L108 |
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ProfileMarket IndicatorsVALUE : Projects & res.Press releasesAnnual reportRISK : Asset profileContact Cpy |
Cameco is a uranium producing company based in Canada. Cameco produces uranium, cobalt, copper, nickel and zinc in Canada, in Finland and in Kazakhstan, develops uranium in Australia and in Canada, and holds various exploration projects in Canada. Its main assets in production are RABBIT LAKE, KEY LAKE, SMITH RANCH, CROW BUTTE, MCARTHUR RIVER (SASKATCHEWAN), MC ARTHUR RIVER and MCARTHUR RIVER MINE in Canada, INKAI and HIGHLAND in Kazakhstan and TALVIVAARA in Finland, its main assets in development are CIGAR LAKE and MILLENNIUM in Canada and KINTYRE in Australia and its main exploration properties are EAGLE POINT, DAWN LAKE, SMART LAKE, BOOMERANG and DAWSON in Canada. Cameco is listed in Canada, in Germany and in United States of America. Its market capitalisation is 2.6 billions as of today (US$ 1.9 billions, € 1.8 billions). Its stock quote reached its lowest recent point on December 26, 2003 at 10.02, and its highest recent level on September 19, 2024 at 55.70. Cameco has 47 442 200 shares outstanding. |