What Is Denison Mines’ (DNN) Stock Forecast for 2021?

Denison Mines is a play on uranium prices and the prices of the metal have been rising. Uranium’s prices rose above $30 per pound recently after being weak for many years following Japan’s Fukushima disaster in 2011. BMO Capital Markets and Morgan Stanley think that $30 is a floor for uranium and predict a rally over $50 per pound by 2024. Denison Mines and for that matter, other uranium mining companies are a leveraged play on uranium prices. With a rise in uranium prices, Denison Mines’ financials should improve too, which would lead to a higher stock price.

Denison Mines has some very promising assets. Its McClean Lake uranium mill processes around 12 percent of the world’s uranium. Its bigger project, Wheeler River, could have one of the lowest production costs in the world. Therefore, a rise in uranium prices should lead to relatively higher profits for the company compared to its peers. This makes DNN an attractive bet on uranium prices. 

View more information: https://marketrealist.com/p/denison-mines-dnn-stock-forecast-2021/

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See also  https://marketrealist.com/p/vechain-vet-price-prediction-2025/

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