Truist Financial initiated coverage on uranium producer Cameco (TSE:CCO). The firm assigned a "Buy" rating. It set a $129 price target. The rating reflects a positive outlook on the nuclear energy market and Cameco's market position.
Truist cited Cameco as a high-quality, vertically integrated company. It noted Cameco's strong position for favorable long-term uranium supply-demand dynamics. Truist anticipates a structural under-supply and growing demand. This combination will lead to improving contract pricing for Cameco.