Cameco Corp (CCJ) surged 5.85% in pre-market trading, reaching $93.91 per share, as investors reacted to the company's latest quarterly earnings report and a recent analyst upgrade.
The uranium producer released its quarterly results before the market open, with consensus estimates projecting earnings per share of $0.26. Additionally, UBS upgraded Cameco from Neutral to Buy on July 27, setting a price target of C$166, which further bolstered investor confidence.
Cameco has a track record of strong earnings beats, with its Q1 adjusted EPS surpassing market expectations by 88%. The company's fundamentals have been strengthening, highlighted by the completion of its increased interest in the Cigar Lake mine to 57.42% and a major uranium supply agreement with India valued at approximately $1.9 billion. Bullish institutional sentiment, with Stifel Canada and RBC maintaining Buy and Outperform ratings respectively, has also supported the stock's positive momentum.