I am positive about uranium for 2023. In this recent article from Harris Kupperman, he reiterates his positive view on uranium and the positive catalyst that is not discussed by most analysts.
On this site, I’ve previously detailed the bullish thesis for uranium. What I haven’t spoken about is how strong the incremental data-points have been since then. When I first bought uranium in September of 2021, I saw a supply and demand imbalance, along with a mechanism to sequester uranium, furthering that imbalance. Since then, nearly every datapoint was unexpected and positive. Some of those datapoints were extreme in terms of how positive they were. Oddly, I think that investors have simply missed the magnitude of what’s happening here. As a result, I’m going to spell it out as best as I can.
The aggressive pivot to nuclear isn’t just in Europe. China and India are also powering ahead with their reactor buildout. Dozens of plants from California to Illinois have been saved, while countries like France are postponing retirements and speaking about building new reactors. Meanwhile, Japan is in the process of turning theirs back on, while Korea has also done an about-face. Everywhere, we see plants either remaining online, or turning back on. All of this change on the demand-side is stunning, but it’s only part of the story. The bigger story is the switch from underfeeding to overfeeding.
Read the whole article as he explains the concept of over and under-feeding of uranium and how it may cause a massive inflection upwards in the uranium price. As I said in a recent video, I remain very bullish on uranium. In fact, it is my highest conviction thesis.
Last year was boring in the uranium market so a lot of the tourists and shiny object chasers have left the space. In the meantime, fundamentals have only gotten better.
Ignore the uranium market at your own investment peril.