NXE - NexGen Energy: Still A Long Way To Go For A Buy Rating

2024-04-19 05:38:03 ET

Summary

• NexGen Energy is developing the world-class Rook Project/Arrow Deposit in the Athabasca Basin, projected to be one of the largest uranium mines in the world.
• The company is currently in the permitting phase, with limited newsflow until all permits and approvals are received.
• For now, NXE stock price is simply a beta bet on the price of uranium, with potential timing delays and cost overrun risks.
• I maintain my hold recommendation.

To be upfront, I am a long-time uranium bull, having assigned a buy rating to uranium equities almost 2 years ago when I joined Seeking Alpha. The bull case for uranium is undeniable: nuclear power is one of the greenest sources of energy, on par with solar and wind (Figure 1)....

For further details see: