RE:What will happen with the stock pricePierreolivier15 wrote: Hi everybody, we've seen a lot of movement last week due to the kazakhstan's cut in production. I think the market is overeacting because these stocks have been beaten up. The market will be still oversupplied by second source for many years. Some people say the turnaround has arrived. In my opinion, price will go down further this year. What is your thought about that?
I'm a long UUUU since 2014. Sadly, I missed the chance to buy some shares under 3$ CAD
You can never disregard the risk. In my opinion, the biggest risk with this company is further dilution. We might reach 1 billion market cap in 10 years with 1 billion shares outstanding.
To mitigate that risk, I keep cash to buy and sell shares in order to bring the average cost down as close to 0 as I can. Having cash allowed me to buy a huge position in November. Last week, I rotated the profits from those shares into convertible debentures in order to protect my downside and still have an option to a big move in upside, just need to be aware of company's call options in that case. Don't want to ride this down all the way again.
Watch spot price, URA, CCJ, and URG and other competitors and make your decisions appropriately. We should outperform with higher spot and underperform with low.