- With high inflation rates, accompanied by low rates of economic growth, the challenge of identifying investment opportunities that will beat the wealth-destroying effects of inflation is increasingly acute.
- Cameco is one of the best-positioned companies to thrive within a challenging environment.
- The inflationary pressures stem partially from tight global commodities markets. Uranium demand is therefore set to soar as nuclear power will be seen increasingly as a solution to worldwide energy shortfalls.
- The price of uranium can rise substantially, without causing demand destruction, because fuel inputs make up a very small percentage of total nuclear power costs.
- Cameco's latest financial results are not stellar, but it stands to greatly benefit from potentially much higher uranium production, which it can sell at much higher prices.
For further details see:
Cameco: Because The Diagnosis Is Commodity-Price-Induced Global Stagflation