Uranium Resources, Inc. (NASDAQ: URRE)
Uranium Resources is having an incredibly strong day in the market today. At the opening bell, the stock was already trading slightly in the green. From there, it went on a mad-dash upward that has continued throughout most of the morning. Today, we’ll talk about what we’re seeing from URRE, why, and what we’ll be watching for ahead.
What We’re Seeing From URRE
As mentioned above, Uranium Resources is having a great day in today’s trading session. Early on, the stock started the day off in the green. Throughout the morning, we’ve seen a continuation of gains, only expanding the profits. As a result, at the moment (11:47), URRE is trading at $2.57 per share after a gain of $0.22 per share or 9.37% thus far today.
Why The Stock Is Making A Run For The Top
As is just about always the case, our partners at Trade Ideas were the first to inform us of the gains on URRE. As soon as they did, the CNA Finance team started digging to see why the stock was making a run for the top. It didn’t take long to dig up the story. In this particular case, the gains seem to be the result of an article on Seeking Alpha that outlines Uranium as the ultimate contrarian investment.
You see, Uranium Resources and others have had a hard time since the Fukushima disaster that took place in 2011. However, many are starting to argue that in December, the price of uranium hit its bottom in December of 2016.
At the end of the day, investors have been concerned that demand for Uranium would fall off as nuclear energy moves from being the first choice to, for many, the last choice. Nonetheless, experts point to the fact that we’re seeing quite a bit of reactor construction in China, which should ultimately lead to an increase in demand for uranium. Ultimately, this should send URRE higher.
What We’ll Be Watching For Ahead
Moving forward, the CNA Finance team will be keeping a close eye on URRE. In particular, we’ll be watching for further news with regard to reactor construction in China, and how that equates to higher demand for uranium. Nonetheless, we’ll be keeping a close eye on the news and we’ll continue to bring it to you as it breaks!
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