Five Uranium Stocks to Buy According to Hedge Funds

Although uranium prices have crashed since the tragic Fukushima disaster, some analysts think a revival in the uranium sector could be impending amid an increasing appetite for alternative energy sources around the world. Several uranium analysts such as David Talbot of Dundee Capital Markets and Raymond Goldie of Salman Partners predict that uranium prices are set to double by 2020. Having that in mind, let’s have a look at some of the popular uranium stocks by assessing the latest hedge funds’ sentiment and fundamental news around them.

At Insider Monkey, we’ve developed an investment strategy that has delivered market-beating returns over the past 12 months. Our strategy identifies the 100 best-performing funds of the previous quarter from among the collection of 700+ successful funds that we track in our database, which we accomplish using our returns methodology. We then study the portfolios of those 100 funds using the latest 13F data to uncover the 30 most popular mid-cap stocks (market caps of between $1 billion and $10 billion) among them to hold until the next filing period. This strategy delivered 18% gains over the past 12 months, more than doubling the 8% returns enjoyed by the S&P 500 ETFs.

Cameco Corporation (USA) (NYSE:CCJ)

At the end of the third quarter, 17 hedge funds tracked by Insider Monkey were bullish on Cameco Corporation (USA) (NYSE:CCJ), down from 19 funds a quarter earlier. According to our data, David Iben’s Kopernik Global Investors was the biggest stakeholder among these hedge funds with 7.78 million shares of the Canadian company, followed by Phill Gross and Robert Atchinson‘s Adage Capital Management with 6.11 million shares. In the third quarter, Cameco earned $0.30 a share on $670 million, much better than the Street’s projection of $0.22 EPS and $494.13 million revenue. The stock has lost over 22% year-to-date.

AngloGold Ashanti Limited (ADR) (NYSE:AU)

Of the 742 funds tracked by Insider Monkey, 21 funds reported owning long positions in AngloGold Ashanti Limited (ADR) (NYSE:AU) at the end of the third quarter, down from 27 funds a quarter earlier. The hedge funds own over 9% of the company’s total float. In the third quarter, the South Africa-based company posted a free cash flow of $160 million, compared to $50 million reported in the same quarter last year. For the full year, the company narrowed its production forecast to 3.6Moz and 3.65Moz from the previously announced 3.6Moz and 3.8Moz. Although the company’s main product is gold, AngloGold makes uranium as a byproduct of its mining.