DNN - Denison Mines: The Premature Uranium Rally May Soon Reverse

• Uranium stocks have risen tremendously over the past year as production shortages have fueled speculation of a long-term rally in uranium prices.
• As Cameco reopens its primary mine, uranium prices have slid and may trigger a reversal among more speculative uranium mining stocks.
• Denison Mines may see a sharp decline as it appears its current valuation may be a bit too high considering uncertainties regarding its development timelines and targets.
• If Denison meets targets without significant equity dilutions, the stock may be undervalued, but last year's slowdown indicated the key Wheeler River project may take longer or be more expensive than anticipated.
• It is also possible that the "Great Uranium Shortage" thesis may prove a self-defeating prophecy as many miners are aggressively developing to meet the anticipated shortage.

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