Balboa Wealth Partners Reduces Stake in Cameco Corporation by 49.2%

Balboa Wealth Partners has significantly reduced its holdings in Cameco Corporation, selling 12,493 shares during the second quarter of 2023. This transaction has resulted in a 49.2% decrease in their stake, leaving the institutional investor with 12,886 shares valued at approximately $957,000 as of the latest reporting period.

Several other institutional investors have also adjusted their positions in Cameco Corporation (NYSE: CCJ, TSE: CCO). For instance, Manchester Capital Management LLC doubled its stake by acquiring an additional 300 shares, bringing its total to 600 shares valued at $25,000. Additionally, Dagco Inc. and SVB Wealth LLC entered new positions in Cameco worth $28,000 and $29,000, respectively. Trust Co. of Vermont saw a remarkable increase of 1,029.4% in its holdings, acquiring 350 shares to reach a total of 384 shares, valued at $29,000. Hilltop National Bank also purchased a new stake in Cameco worth $30,000. Collectively, hedge funds and institutional investors now own 70.21% of Cameco’s stock.

Analyst Ratings and Market Performance

Recent analyst reports have shown a generally optimistic outlook for Cameco. On August 1, 2023, the Royal Bank of Canada raised its target price from $100.00 to $110.00 while assigning an “outperform” rating. Other firms, including BMO Capital Markets and Scotiabank, have also reiterated their “outperform” ratings, with UBS Group setting a price target of $102.00.

The stock has received various ratings: one analyst has rated it as a Strong Buy, while fourteen analysts have given it a Buy rating and one has assigned a Hold rating. As of now, Cameco holds a consensus rating of “Buy,” with an average price target of $89.55.

Cameco’s shares opened at $86.75 on Monday, marking a decline of 4.8%. Over the past year, the stock has ranged from a low of $35.00 to a high of $97.79. The company has a market capitalization of $37.77 billion, a P/E ratio of 99.71, and exhibits a beta of 0.99.

Recent Financial Performance

Cameco Corporation last reported its quarterly earnings on July 31, 2023. The company announced earnings per share of $0.51, exceeding analysts’ expectations of $0.29 by $0.22. The firm achieved a net margin of 14.97% and a return on equity of 8.21%. Revenue for the quarter totaled $467.72 million, significantly lower than analyst forecasts of $819.79 million, though this represented a year-over-year increase of 46.7%.

Cameco has guided its earnings per share for the fiscal year 2025 but has not provided specific figures. Analysts predict that the company will report an average of $1.27 earnings per share for the current fiscal year.

Founded in 1988, Cameco Corporation specializes in providing uranium for electricity generation and operates through multiple segments, including Uranium, Fuel Services, and Westinghouse. The Uranium segment focuses on exploration, mining, and milling, while the Fuel Services segment is dedicated to refining and fabricating uranium concentrate.

As institutional investors continue to adjust their holdings, the performance of Cameco will be closely monitored in the coming months, particularly in light of its evolving market position and financial outlook.