Cameco (CCO) AI Stock Analysis

• Market Cap: C$46.44B
• Dividend Yield: 0.15%
• Average Volume (3M): 1.30M
• Price to Earnings (P/E): 87.0
• Beta (1Y): 1.80
• Revenue Growth: 34.68%
• EPS Growth: 106.82%
• Country: CA
• Employees: 730
• Sector: Energy
• Sector Strength: 55
• Industry: Uranium
• EPS (TTM): 0.71
• Shares Outstanding: 435,387,450
• 10 Day Avg. Volume: 1,215,131
• 30 Day Avg. Volume: 1,300,889
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: C$117.83
• Price Target Upside: 9.87% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 14

• Rating: 72 Outperform
• Price Target: C$115.00 ▲(7.24% Upside)

Cameco's strong financial performance and strategic positioning in the nuclear market are major strengths, supporting a positive outlook. However, high valuation metrics and production risks present challenges. The technical indicators suggest moderate momentum, while the earnings call provides a balanced view with optimism about future opportunities.

Positive Factors

Earnings

Cameco reported a sizeable earnings beat versus Wall Street expectations.

Financial Outlook

Cameco improved its guidance for realized uranium pricing, indicating potential for increased revenue.

Partnership and Expansion

Cameco’s 49% share in Westinghouse is expected to boost its Q2 results due to Westinghouse’s participation in the construction of two new nuclear reactors.

Negative Factors

Contracting Volumes

The company's contracted volumes fell year-over-year in the first half, leading to concerns about negative growth in its core market.

Market Concerns

There is concern that Cameco's stock might decouple from GEV Vernova as the fundamentals of the uranium space are not as strong as those in the gas turbine market.

Production Challenges

Cameco announced an 8% to 11% reduction in its 2025 consolidated uranium production guidance due to underground mine development challenges at its McArthur River mine.

Cameco Business Overview & Revenue Model

Company Description

Cameco Corporation produces and sells uranium. It operates through two segments, Uranium and Fuel Services. The Uranium segment is involved in the exploration for, mining, and milling, as well as purchase and sale of uranium concentrate. The Fuel Services segment engages in the refining, conversion, and fabrication of uranium concentrate, as well as the purchase and sale of conversion services. This segment also produces fuel bundles or reactor components for CANDU reactors. The company sells its uranium and fuel services to nuclear utilities in the Americas, Europe, and Asia. Cameco Corporation was incorporated in 1987 and is headquartered in Saskatoon, Canada.

How the Company Makes Money

Cameco generates revenue primarily through the sale of uranium and conversion services. Its key revenue streams include long-term contracts with utilities, spot market sales of uranium, and revenues from its joint ventures and partnerships in uranium mining. The company benefits from long-term supply agreements, which provide stable cash flow and mitigate market volatility. Additionally, Cameco engages in strategic partnerships and joint ventures to enhance its production capabilities and reduce operational risks. Factors contributing to its earnings include global demand for nuclear energy, regulatory frameworks supporting nuclear power, and fluctuations in uranium prices.

Cameco Financial Statement Overview

Summary

Cameco demonstrates strong financial health with robust growth and profitability in its income statement, a stable balance sheet with low leverage, and excellent cash generation capabilities. The company is well-positioned for continued growth and stability in the uranium industry.

Income Statement

Cameco's income statement shows strong revenue growth with an 8.46% increase in TTM, supported by a solid gross profit margin of 29.47%. The net profit margin improved significantly to 14.94%, indicating enhanced profitability. EBIT and EBITDA margins are robust at 22.75% and 31.39% respectively, reflecting efficient operations. Overall, the company demonstrates strong growth and profitability trends.

Balance Sheet

The balance sheet is stable with a low debt-to-equity ratio of 0.15, indicating conservative leverage. Return on equity is moderate at 8.27%, showing decent profitability relative to equity. The equity ratio stands at 70.36%, highlighting a strong equity base. The company maintains a healthy financial position with manageable debt levels.

Cash Flow

Cameco's cash flow statement shows a significant free cash flow growth of 33.36% in TTM, indicating strong cash generation capabilities. The operating cash flow to net income ratio is high at 1.90, suggesting efficient cash conversion. The free cash flow to net income ratio of 0.78 further supports the company's ability to generate cash relative to its earnings.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	3.57B	3.14B	2.59B	1.87B	1.47B	1.80B
Gross Profit	1.05B	1.06B	561.67M	233.29M	1.93M	106.45M
EBITDA	1.12B	789.34M	660.85M	276.56M	138.10M	252.67M
Net Income	533.55M	171.85M	360.85M	89.38M	-102.65M	-53.20M
Balance Sheet
Total Assets	9.58B	9.91B	9.93B	8.63B	7.52B	7.58B
Cash, Cash Equivalents and Short-Term Investments	716.29M	600.46M	566.81M	2.04B	1.10B	753.23M
Total Debt	995.97M	1.30B	1.79B	997.00M	996.25M	995.54M
Total Liabilities	2.84B	3.54B	3.84B	2.80B	2.67B	2.62B
Stockholders Equity	6.74B	6.36B	6.09B	5.84B	4.85B	4.96B
Cash Flow
Free Cash Flow	901.33M	693.65M	534.50M	161.16M	359.50M	-20.57M
Operating Cash Flow	1.16B	905.29M	688.14M	304.61M	458.29M	56.89M
Investing Cash Flow	-257.92M	-206.44M	-2.04B	-1.29B	-80.30M	-101.03M
Financing Cash Flow	-556.89M	-688.42M	748.81M	869.26M	-46.77M	-97.99M

Cameco Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 107.24
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:CCO, the sentiment is Positive. The current price of 107.24 is above the 20-day moving average (MA) of 104.65, above the 50-day MA of 104.11, and above the 200-day MA of 80.20, indicating a bullish trend. The MACD of 0.86 indicates Negative momentum. The RSI at 55.59 is Neutral, neither overbought nor oversold. The STOCH value of 38.90 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:CCO.

Cameco Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CCO	72 Outperform	C$46.44B	87.03	8.09%	0.15%	34.68%	106.82%
Sector *	65 Neutral	$14.98B	7.44	4.09%	5.34%	4.10%	-61.67%
DNN	―	$2.13B	31.01	-14.63%	―	―	―
EU	41 Neutral	C$608.06M	―	-22.78%	―	29.59%	-86.53%
NXE	―	$4.53B	23.27	-17.01%	―	―	―
UROY	―	$431.12M	312.20	-1.95%	―	―	―
SASK	48 Neutral	C$151.29M	―	-4.56%	―	―	72.48%

Cameco Corporate Events

Cameco Reports Strong Q2 2025 Results, Boosted by Westinghouse Investment

Cameco reported strong financial results for Q2 2025, with significant earnings growth driven by its uranium, fuel services, and Westinghouse segments. The company’s long-term contracting strategy and investment in Westinghouse, particularly in the Czech Republic’s Dukovany power plant project, have improved its 2025 outlook. Cameco’s integrated strategy and market positioning are expected to capitalize on the growing global support for nuclear energy, enhancing its operational plans and future growth opportunities.

The most recent analyst rating on (TSE:CCO) stock is a Buy with a C$52.00 price target. To see the full list of analyst forecasts on Cameco stock, see the TSE:CCO Stock Forecast page.

Cameco Unveils 2024 Sustainability Report, Showcasing Key Achievements

Cameco has released its 2024 Sustainability Report, highlighting its commitment to sustainability through various initiatives and metrics. Key achievements include completing climate risk assessments at U.S. operations, launching a training program for northern Saskatchewan residents, and publishing Scope 3 emissions data. The report underscores Cameco’s dedication to transparency and accountability, integrating SASB and TCFD standards, and achieving third-party assurance on selected performance indicators. These efforts aim to enhance Cameco’s sustainability strategy and strengthen its industry positioning by addressing environmental and community impacts.

The most recent analyst rating on (TSE:CCO) stock is a Buy with a C$52.00 price target. To see the full list of analyst forecasts on Cameco stock, see the TSE:CCO Stock Forecast page.

Cameco Projects $170 Million Boost in 2025 EBITDA from Westinghouse Partnership

Cameco anticipates a significant increase in its share of Westinghouse Electric Company’s 2025 adjusted EBITDA, amounting to approximately $170 million (US). This increase is attributed to Westinghouse’s involvement in constructing two nuclear reactors at the Dukovany power plant in the Czech Republic. The expected financial benefits from this project, including the provision of fuel fabrication services, are poised to enhance Westinghouse’s financial performance and growth outlook. This development underscores Cameco’s strategic positioning in the nuclear energy sector and its potential positive impact on stakeholders.

The most recent analyst rating on (TSE:CCO) stock is a Buy with a C$62.00 price target. To see the full list of analyst forecasts on Cameco stock, see the TSE:CCO Stock Forecast page.

Cameco Perseveres Amid Saskatchewan Wildfires, Maintains Production Targets

Cameco continues operations at its northern Saskatchewan sites despite wildfires affecting parts of the province. Although there are no fires near its operations, the company faces temporary disruptions in power and communication services, along with road closures impacting deliveries. Cameco prioritizes employee safety, accommodating requests from staff needing to assist families in affected communities. Despite these challenges, the company maintains its annual production target, underscoring its resilience and commitment to operational stability.

The most recent analyst rating on (TSE:CCO) stock is a Buy with a C$52.00 price target. To see the full list of analyst forecasts on Cameco stock, see the TSE:CCO Stock Forecast page.