10 Best Commodity Stocks to Invest in According to Hedge Funds

7. Cameco Corporation (NYSE:CCJ)

Number of Hedge Fund Investors: 60

Cameco Corporation (NYSE:CCJ) is one of the world’s largest uranium producers, with a strong presence in Canada’s Athabasca Basin, primarily through its Cigar Lake, Key Lake, and McArthur River mines. The company operates an integrated business model that encompasses uranium refining, conversion, and fuel manufacturing. Additionally, Cameco Corporation (NYSE:CCJ) is actively advancing small modular reactor (SMR) nuclear technology.

Cameco Corporation (NYSE:CCJ) is focused on optimizing its assets to maintain a robust and resilient supply chain. The company has made substantial investments in automation, digitization, and project optimization at its MacArthur River and Key Lake operations, which have delivered impressive results. These investments were made during market downturns, and are now yielding benefits by lowering costs and increasing production levels. For instance, the Key Lake Mill is projected to produce approximately 19 million pounds of uranium in 2024, surpassing the earlier estimate of 18 million pounds.

Cameco Corporation (NYSE:CCJ) is also evaluating the work and capital required to expand its MacArthur River and Key Lake operations to their licensed capacity of up to 25 million pounds per year. The company is carefully analyzing how to de-risk and de-bottleneck these operations to achieve a higher baseline level of production without incurring substantial additional investments.