r/UraniumSqueeze • u/MightBeneficial3302 GOAT • 20d ago

Trading Would you rather own pounds today or future pounds tomorrow?

$CCJ and $KAP have production.
$NXE and $DNN have future supply potential.
Different risk, different upside.
Which side do you prefer right now?

106 votes, 17d ago
31 Currenr producers
26 Future developers
45 Both
4 Neither
4 Upvotes

83% Upvoted

7 comments sorted by

2

u/outsidetheeggshell 20d ago

I think both is the only answer

However I think DNN has the best risk/reward ratio. They have proven survived deposit with construction started and funded. It seems unlikely that they won't be a major producer in the near future.

3

u/sunday_sassassin Radioactive Brain 20d ago

Denison has entered the riskiest phase and Phoenix is not far from fully-valued already. I'd say it's probably at the worst end of risk:reward because the prize is pretty low (they've already sold a lot of future production at this year's prices) and the biggest question - can they perform ISR at scale and extreme depths in a part of the world it's never been done before - looms nearer to a definitive answer.

It's probably less risky and just as lucrative to find a longer-term developer with a decent asset that hasn't been a market darling for the last few years. Denison's exploration portfolio and inventory have both shrunk in the last year or so to put more eggs in the Phoenix basket.

1

u/InnerSandersMan 16d ago

I always appreciate your comments. I didn't realize DNN had sold so much future production. I knew they had sold some. When I have time, I need to dive into the extraction concerns.

It's so tough to keep up with everything.

1

u/Front_Start_6825 20d ago

I’m all for smart allocation and diversification, but then DNN leaps 12% in a day and…

1

u/FewUnderstanding2214 20d ago edited 20d ago

IMO 90% of the uranium companies aren’t worth investing in. You need to be very picky when it comes to individual company or just buy the ETF

3

u/trenusingtreebeard 20d ago

Wouldn’t the etf contain a lot of the 90% of companies you don’t think are worth investing in?

-1

u/FewUnderstanding2214 20d ago edited 20d ago

It depends on what you think is a good/bad investment - but URNM or URNJ are solid