Cameco (CCJ) ended the recent trading session at $40.18, demonstrating a +1.44% swing from the preceding day's closing price. This move lagged the S&P 500's daily gain of 2.51%. Elsewhere, the Dow gained 2.66%, while the tech-heavy Nasdaq added 2.71%.
Coming into today, shares of the uranium producer had lost 13.4% in the past month. In that same time, the Basic Materials sector lost 5.46%, while the S&P 500 lost 8.86%.
The investment community will be paying close attention to the earnings performance of Cameco in its upcoming release. The company's upcoming EPS is projected at $0.21, signifying a 110% increase compared to the same quarter of the previous year.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $0.96 per share and revenue of $2.45 billion, indicating changes of +95.92% and +7.49%, respectively, compared to the previous year.
Additionally, investors should keep an eye on any recent revisions to analyst forecasts for Cameco. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.
The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has shifted 6.08% downward. At present, Cameco boasts a Zacks Rank of #3 (Hold).
In terms of valuation, Cameco is presently being traded at a Forward P/E ratio of 41.08. This denotes a premium relative to the industry's average Forward P/E of 12.98.
The Mining - Miscellaneous industry is part of the Basic Materials sector. With its current Zacks Industry Rank of 151, this industry ranks in the bottom 40% of all industries, numbering over 250.
The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.
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Cameco Corporation (CCJ): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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